Question

In choosing a business entity, principals of the business should consider the extent to which they are personally liable for debt and other contract or tort liabilities of the business entity itself.

Answer 1

True

Step-by-step explanation:

In choosing a business entity,it is necessary to make some findings about the business and the different major factors which affects it so as not to have a bad investment and subsequent regrets.

This is usually done by the principals of the business and they also consider the extent to which they are personally liable for debt and other contract or tort liabilities of the business entity itself.