Which One of the Following Individuals or Entities Is Ineligible

question 51

Multiple Choice

Which one of the following individuals or entities is ineligible to be an S corporation shareholder?

• A)an estate
• B)resident alien of the United States
• C)a voting trust where all of the beneficiaries are U.S. citizens
• D)a partnership where all of the partners are U.S. citizens

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Definitions:

Controllable Costs

Costs that can be influenced or changed by management decisions in the short term.

Master Budget

A comprehensive financial planning document that consolidates all of a company’s individual budgets, including sales, production, and expenses, for a specific period.

Flexible Budgets

Budgets that adjust or flex with changes in volume or activity, allowing for more accurate comparisons to actual results.

Planning and Control

Processes used by management to establish objectives, execute plans to meet those objectives, and monitor progress.