Question 7: Signify TRUE or FALSE as applicable for each of the following items as they pertain to corporations.

a. A corporation is a separate legal entity from its owners.

[ Choose ] False True

b. Stockholders are personally liable for the debts of the corporation.

[ Choose ] False True

c. Corporate income is taxable to the corporation as it is earned.

[ Choose ] False True

d. Dividends are taxable to the corporation as they are distributed.

[ Choose ] False True

e. Dividends represent a withdrawal of investment by stockholders.

[ Choose ] False True