Identify Which of the Following Statements Is True

question 118

Multiple Choice

Identify which of the following statements is true.

• A)Under the check-the-box regulations, an LLC that has one member (owner)may be disregarded as an entity separate from its owner.
• B)An unincorporated business may not be taxed as a corporation.
• C)A new LLC that is owned by four members elects to be taxed under its default classification (as a partnership)in its first year of operations. The entity is prohibited from changing its tax classification at any time in the future.
• D)All of the above are false.

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Definitions:

Effort Justification

A psychological phenomenon where individuals rationalize the effort they put into a task by increasing their valuation of the outcome.

Minimal Deterrence

A strategy in international relations aimed at preventing undesirable actions by other states, using the least force or threat possible.

Overjustification

The phenomenon where providing an extrinsic reward for behavior that was previously intrinsically rewarding can lead to a reduction in intrinsic motivation.

Cognitive Dissonance

A psychological state of discomfort caused by holding conflicting beliefs, values, or attitudes, leading to motivation for change.