Del owns Everlast Painting, a sole proprietorship. Del's liability is

A) limited by state statute and varies from state to state.
B) limited to the extent of capital expenditures.
C) limited to the extent of his or her original investment.
D) unlimited.

Sole Proprietorship

is a business structure where a single individual owns and operates the business, assuming sole responsibility for its debts and obligations.

Unlimited Liability

A legal structure in business where the owner's personal assets can be used to satisfy the business's debts and liabilities.

State Statute

Legislation enacted by a state legislature or established by a state court.