Which Statement Is Correct with Respect to an S Corporation

question 57

Multiple Choice

Which statement is correct with respect to an S corporation?

• A)There is no advantage to also elect § 1244 stock.
• B)An S corporation can own 85% of an insurance company.
• C)An estate may be an S shareholder.
• D)A voting trust arrangement is not available.
• E)None of the above statements is correct.

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Definitions:

Symbolic Form

A representation of ideas or concepts through symbols rather than direct statements.

Believe

To accept something as true, especially without absolute proof that it is so.

Symbolic Form

Utilization of symbols to represent complex ideas or concepts, including in art, literature, or mathematics.

Connective

In logic, a symbol or word used to connect two or more sentences in a compound sentence or to connect two or more propositions in a complex proposition.