Identify Which of the Following Statements Is True

question 47

Multiple Choice

Identify which of the following statements is true.

• A)Loans made to shareholders in proportion to their stock ownership in the corporation is evidence that the loans are disguised dividends.
• B)Corporate payments for the shareholder's benefit may be a taxable dividend.
• C)If the shareholder can elect to receive distributing corporation stock or money, the receipt of distributing corporation stock will be a taxable dividend.
• D)All of the above are true.

---

Definitions:

Approaches

Methods or strategies employed in dealing with a problem or task.

Technology-enabled Products

Goods or services enhanced with technological features or capabilities, offering additional value or functionality.

Consumer Demand

The desire for particular goods or services that consumers are willing and able to purchase at a given price.

Skimming

A pricing strategy in which a high price is set for a new product to “skim” off customers willing to pay a premium before lowering the price to attract a broader market.