Which of the Following Will Disqualify a Corporation from Electing

question 47

Multiple Choice

Which of the following will disqualify a corporation from electing Subchapter S status?

• A)The corporation has 80 shareholders.
• B)The corporation has one class of stock.
• C)The election form is signed by 80% of the shareholders.
• D)All shareholders are U.S.citizens except for 10% who are resident aliens.

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Definitions:

Cognitive Miser

A theory suggesting that humans, to save mental energy, prefer to solve problems in the simplest way possible rather than in a more sophisticated but effort-intensive way.

Mentally Lazy

A reluctance or lack of desire to engage in cognitive tasks or challenges, preferring minimal mental effort or thought.

Process-oriented

Focused on the methods and procedures of accomplishing tasks or understanding phenomena, rather than solely on outcomes.

Problem Solvers

Individuals or groups that identify, analyze, and find solutions to complex or challenging situations.