Which of These Is Not Considered an Advantage of the Corporate

question 70

Multiple Choice

Which of these is not considered an advantage of the corporate business form?

• A) A shareholder employee's salary is fully deductible from corporate income
• B) Shareholders are not taxed on corporate income until it is distributed to them
• C) Shareholder-employees can participate in employee fringe benefits
• D) Corporate shareholders cannot deduct corporate losses from their income

---

Definitions:

Business Success

Achieving the intended goals and objectives of a business, often measured by financial performance, market share, or the satisfaction level of stakeholders.

Quality Control

The procedures and measures implemented by a company to ensure that the product or service meets defined standards of quality.

Quality Circles

Groups of workers who voluntarily meet to discuss and solve issues related to their work, aiming at improvements in product quality and the work environment.

Productivity

A measure of the efficiency of production, often expressed as the ratio of outputs to inputs in the production process.