5. Which, if any, of the following is accurate.

Statement A. Corporations distribute profits primarily through dividends.

Statement B. Corporations are not able to distribute profits to shareholders.

a. Statement A and B are true when it comes to partnerships rather than corporations

b. Both statements are true.

c. Neither statement is true.

d. Statement B is correct, while statement A is false.

e. Statement A is correct, while statement B is false

6. Select the correct statement below.

a. Income from the general partnership is taxed twice, i.e. double taxation, once at the business level and once as personal income.

b. Income from the LLC is taxed twice, i.e. double taxation, once at the business level and once as personal income.

c. Income from the sole proprietorship is taxed twice, i.e. double taxation, once at the business level and once as personal income.

d. Income from the partnership is taxed twice, i.e. double taxation, once at the business level and once as personal income.

e. Income from the corporation is taxed twice, i.e. double taxation, once at the business level and once as personal income.

7. The S corporation cannot have more than _____ shareholders.

a. 50

b. 75

c. 90

d. 99

e. 100