If the Amount of a Corporate Distribution Is Less Than

question 60

True/False

If the amount of a corporate distribution is less than the amount of the corporate earnings and profits, the return of capital concept does not apply and the shareholders' adjusted basis for the stock remains unchanged.

---

Definitions:

Discharge Plan

A coordinated plan developed by healthcare professionals for the continued care of a patient after they leave a healthcare facility.

Capitation

A payment model in healthcare where providers receive a fixed amount of money per patient for a designated period of time regardless of the amount of care the patient requires.

Payment Plan

An agreement between a debtor and a creditor that outlines the method by which the debtor will pay back the owed amount over a specific period.

Continuing Care

Ongoing healthcare services that support individuals' needs over time, especially for those with chronic conditions or after hospitalization.