Question

alejandro recently established a maintenance company as a sole proprietorship. he was hired to repair the air - conditioner on a residential property, but he accidentally caused damage to the air - conditioning unit valued at over $6,000. alejandro has only had the business for a week and has paid about $200 for tools. which of the following is true? (1 point)

alejandro is liable for all of the damages since the owner of a sole proprietorship does not have limited liability

alejandro is liable for $200 since the owner of a sole proprietorship does not have limited liability

alejandro is liable for $200 since the owner of a sole proprietorship has limited liability

alejandro is liable for all of the damages since the owner of a sole proprietorship has limited liability

Explanation:

In a sole - proprietorship, the owner's personal and business assets are not separate. The owner is personally responsible for all debts, obligations, and damages of the business. So, Alejandro is liable for the damage to the air - conditioning unit, regardless of the amount he has spent on tools.

Answer:

A. Alejandro is liable for all of the damages since the owner of a sole - proprietorship does not have limited liability