Jason Is One of 100 Shareholders in Jace Corporation

question 130

Essay

Jason is one of 100 shareholders in Jace Corporation.The remaining 99 shareholders are unrelated individual U.S.residents.During the year, Jason gave several of his shares in Jace Corp.to his brother as a birthday present and to his best friend, Hal (unrelated to all shareholders in Jace Corp.), as a wedding present.After these gifts, Jace Corp.has 102 shareholders.Is Jace Corp.prohibited from electing to become an S corporation? Explain.

---

Definitions:

False Memory Syndrome

A condition in which a person's identity and relationships are affected by strongly believed but false memories.

Directed Forgetting

A procedure where subjects are instructed to forget some information but not other information

Mnemonics

memory aids, especially those techniques that use vivid imagery and organizational strategies to enhance the recall of information.

Method of Loci

A memorization technique where one associates information with specific physical locations.