Review Exhibits 3.4 and 3.5 below. Identify a type of business generally operated as a sole proprietorship. Discuss the types of items that would generally be included on the Schedule C for that type of business. Explain how this would impact the personal tax liability of the owner on the Schedule 1040. Support your responses with cites to business and/or legal sources.
Exhibit 3.4 Form 1040
Exhibit 3.5 Schedule C