Question

What is an example of a proprietorship?

A: Patrick and Herman's pizzeria
B: First Consumer Bank
C: Gloria's flower shop

Answer 1

C) Gloria’s flower shop
Proprietorship is also known as the SOLE trader. A proprietorship is a type of enterprise that is owned and run by ONE person and no legal distinction between the owner and business entity

Answer 2

C: Gloria's flower shop

Explanation:

Proprietorship is defined as the business entity with sole trader and does not have any separate existence from its owner. A proprietorship can never be a legal entity and it refers to the owner who is responsible for all the debts personally. From the given options Patrick and Herman's pizzeria have multiple owners by name and First Consumer Bank is a legal entity while Gloria's flower shop is defined by one name having single owner therefore, Gloria's flower shop is an example of proprietorship here.