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प्रश्न
Statement I: The proprietor is personally liable for all the debts of the firm.
Statement II: The life of sole proprietorship is uncertain.
पर्याय
Only I is correct.
Only II is correct.
Both I and II are correct.
Both I and II are wrong.
MCQ
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उत्तर
Both I and II are correct.
Explanation:
The proprietor of a sole proprietorship is personally liable for all the firm’s debts, meaning their personal assets can be used to repay debts if the business’s assets are inadequate. Also, the life of a sole proprietorship is uncertain because the business depends entirely on the proprietor; illness, insolvency, or the proprietor’s death may lead to the business’s termination.
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