Poppy owns a small floral shop and operates the business as a sole proprietorship. If Poppy passes away, her busines: A. continues to operate as a sole proprietorship owned by her heirs B. will continue to operate as a partnership owned by the heirs named in her will D C. legally dissolves D. is converted to a publicly held corporation E. becomes the property of her employees

## Step 1<br />A sole proprietorship is a type of business entity that is owned and run by one individual. There is no legal distinction between the owner and the business. This means that the owner is personally responsible for all the debts and obligations of the business.<br />## Step 2<br />When the owner of a sole proprietorship dies, the business does not continue to operate. This is because the business and the owner are legally the same entity.<br />## Step 3<br />The business does not become a partnership owned by the heirs named in her will. This is because the business and the owner are legally the same entity.<br />## Step 4<br />The business is not converted to a publicly held corporation. This is because the business and the owner are legally the same entity.<br />## Step 5<br />The business does not become the property of her employees. This is because the business and the owner are legally the same entity.<br />## Step 6<br />Therefore, when the owner of a sole proprietorship dies, the business legally dissolves.