Which of the following statements reflects a characteristic of corporations?

a. There is mutual agency for the stockholders, meaning that the stockholders have the power to bind the corporation to contracts.

b. A corporation has a limited life, which means if a stockholder dies or sells the stock it owns, then a new corporate charter must be submitted.

c. The stockholders have unlimited liability and therefore are ultimately responsible for the corporation's debts.

d. The corporation is a separate legal entity and therefore pays income taxes.