5. What is a trial balance?

1. A financial statement
2. A Chart of accounts
3. A chart of accounts with account balances
4. A list of assets

6. What is a sole proprietorship?

1. A business with multiple owners
2. A business with 2 or more owners
3. A business with many owners
4. A business with a single owner

7. Which of the following is a disadvantage of sole proprietorship?

1. Principle agent problem
2. Hard and expensive to set up
3. Poor access to capital
4. Double taxation

8. Which of the following is an advantage of corporate ownership?

1. Easy to set up
2. Limited liability
3. Favorable taxation
4. No longevity