Which of the Following Is Not a Characteristic of Both

question 13

Multiple Choice

Which of the following is not a characteristic of both S corporations and partnerships?

• A)Both are flow through entities
• B)Owners increase basis for debt undertaken by an S corporation or partnership
• C)Both forms limit owner's participation in tax-free fringe benefits
• D)Owners increase basis for gains and decrease basis for losses

---

Definitions:

Diversity Advocate

An individual who actively supports and promotes the inclusion and appreciation of different cultures, backgrounds, and perspectives within a community or organization.

Employment Selection

The process of evaluating and choosing individuals for employment positions, involving various methods such as interviews, tests, and background checks.

Women And Minorities

Refers to groups often underrepresented in various sectors, facing unique challenges and barriers.

Prejudicial

Relating to or exhibiting prejudice, which involves preconceived opinions that are not based on reason or actual experience.