Certain Corporations with 100 or Fewer Stockholders Can Elect to Be

question 20

True/False

Certain corporations with 100 or fewer stockholders can elect to be treated as a partnership for income tax purposes. These corporations are called Subchapter S or simply S corporations.

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Definitions:

Surplus

The condition in which the quantity of a good or service supplied exceeds the quantity demanded at the current price.

Foreign Currency

Currency used in a country other than one's own, involved in international trade, investments, and travel.

Quota

A government-imposed trade restriction that limits the quantity or monetary value of goods that can be imported or exported during a specific time.

Demand Curve

A visual diagram that illustrates how the amount of a product that purchasers are ready to buy varies with its price.