Which Statement Is True Regarding S Corporations

question 20

Multiple Choice

Which statement is true regarding S corporations?

• A) They are considered partnerships yet taxed like corporations as long as they follow regulations.
• B) They cannot have more than 80 shareholders.
• C) Shareholders do not report profit on their personal income tax forms.
• D) They may be formed under state law.
• E) Income is taxed only when distributed to the shareholders, who must not report the income on their personal income tax forms.

Analyze the effects of price floors and price ceilings on market outcomes.

Calculate shortages and surpluses in the market given government interventions such as price floors and price ceilings.

Determine the equilibrium price and quantity in a market from given demand and supply equations or schedules.

Assess the impact of changes in market conditions on equilibrium price and quantity.

---

Definitions:

Prefatory Parts

Introductory sections of a document or book that provide background information or summarize its contents.

RFP

Request for Proposal, a document that solicits proposals, often made through a bidding process, by an agency or company interested in procurement of a commodity, service, or valuable asset.

Proposal Research

The initial stage in a project or study that involves gathering information and formulating a plan to address a specific question or problem.

Line of Reasoning

A logical sequence of statements or arguments that lead to a specific conclusion.