1. Which of the following statements is true for a C corporation incurring a NOL for a tax year that begins in 2021?

Multiple Choice

• It may carry the NOL back two years and forward 20 years.

• It may not carry the NOL back to prior years but it may carry it forward up to 20 years.

• It may not carry the NOL back to prior years but it can carry the loss forward indefinitely.

• It may carry the loss back two years and carry the loss forward indefinitely.

• None of the choices is correct.

2. What document must LLCs file with the state to organize their business?

Multiple Choice

• Articles of incorporation.

• Articles or a certificate of organization.

• None of the choices are correct. LLCs do not have to file with the state to organize their business.

• Partnership agreement.

• Certificate of LLC.

3. Sole proprietorships are not treated as legal entities separate from their individual owners. T/F

4. Unincorporated entities are typically treated as flow-through entities for tax purposes. T/F