Which of the Following Statements Is Correct Regarding S Corporation

question 125

Multiple Choice

Which of the following statements is correct regarding S corporation estimated taxes?

• A) S corporations never pay estimated taxes.
• B) S corporations with a federal income tax liability of $500 due to the built-in gains tax or excess net passive income tax must pay estimated taxes.
• C) S corporations that owe $5,000 in LIFO recapture tax only must pay estimated taxes.
• D)S corporations with a federal income tax liability of $100 due to the excess net passive income tax must pay estimated taxes.
• E)None of these

---

Definitions:

Low Self-esteem

A condition characterized by a lack of confidence and feeling unfavorably about oneself.

High Popularity

Being well-liked or admired by a large number of people.

Purchasing System

An organized method used by businesses to acquire goods and services, involving procedures for requisition, selection, and procurement.

Group Norms

Unwritten set of expectations for group members—what people ought to do; basic principle to follow in getting along with coworkers