Sole proprietorships produce only a small fraction of annual sales in the U.S. economy because sole proprietorships
A. are the most heavily taxed businesses.
B. mainly are small businesses.
C. use the factors of production less efficiently.
D. have less flexibility in decision making.

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  1. Answer is B

    Sole propietorships are small biz, since they are owned by a single individual, who is personally responsible for all losses and debts

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