Which Statement Is Incorrect with Respect to Filing an S

question 28

Multiple Choice

Which statement is incorrect with respect to filing an S election?

• A)Form 2553 must be filed.
• B)All shareholders must consent.
• C)The election may be filed in the previous year.
• D)An extension of time is available for filing Form 2553.
• E)None of the above statements is incorrect.

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Definitions:

Patella

The knee cap; a small, round bone that sits in front of the knee joint, helping to protect it and enhance leverage for leg muscles.

Ischium

One of the three bones that make up the pelvis, helping to form the hip joint and bear the weight of the body in the sitting position.

Perfectly Inelastic

Describes a situation in which the quantity demanded or supplied does not change in response to a change in price.

Relatively Inelastic

Relatively inelastic refers to a situation where the demand for a good or service changes little when its price changes; the percentage change in demand is smaller than the percentage change in price.