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The Income of a Subchapter S Corporation Is Subject to "Double

question 12

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The income of a Subchapter S corporation is subject to "double taxation," once as the income is earned by the corporation, and once as the earnings are distributed to shareholders.


Definitions:

Expected Value

The projected value of a variable, calculated as an average weighted by probabilities in statistical analysis.

Expected Monetary Value

A statistical technique to calculate the average outcome when the future includes scenarios that may or may not happen.

State of Nature Node

A decision analysis tool used to represent possible future events or outcomes in decision making under uncertainty.

State of Nature

A term used in decision theory and statistics to describe possible outcomes in a situation which are not under the control of the decision-maker.

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