A Corporation Cannot Reasonably Accumulate Earnings to

question 38

Multiple Choice

A corporation cannot reasonably accumulate earnings to

• A)protect against pending litigation.
• B)fund an employee retirement plan.
• C)self-insure.
• D)redeem stock of an elderly shareholder where such accumulation occurs prior to the shareholder's death.

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Definitions:

Narcolepsy

Sleep disorder in which a person falls immediately into REM sleep during the day without warning.

Parasomnia

A category of sleep disorders involving abnormal movements, behaviors, emotions, perceptions, and dreams that occur while falling asleep, sleeping, between sleep stages, or during arousal from sleep.

Drug Tolerance

The decrease of the response to a drug over repeated uses, leading to the need for higher doses of drug to achieve the same effect.

Detoxification

The process of removing toxic substances or qualities, often used in the context of alcohol or drug misuse, as the body metabolizes and eliminates harmful substances.