Identify Which of the Following Statements Is False

question 53

Multiple Choice

Identify which of the following statements is false.

• A)Askew Corporation has ten unrelated shareholders, each of whom owns 10% of the outstanding stock. This corporation is a personal holding company.
• B)Stock owned by an individual, in addition to stock attributed from her spouse, parents, children, and siblings, are all counted towards whether or not the personal holding company stock ownership test has been met.
• C)S corporations and tax-exempt organizations are excluded from the personal holding company (PHC)definition.
• D)A person who holds an option to acquire stock is considered to own the stock for purposes of the PHC stock requirements.

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Definitions:

Nucor's Profit-Sharing

A financial incentive strategy used by Nucor Corporation, involving the distribution of company profits among its employees.

Electrical Grid

A network for delivering electricity from producers to consumers, encompassing power stations, transmission lines, and distribution systems.

Plant Operation

The activities involved in managing and running a manufacturing facility or industrial plant, including production, maintenance, and quality control.

Flexible Benefit Plan

A benefits program allowing employees to choose from a range of benefits options, tailoring their package to meet personal needs.