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True or False Dividends paid to corporate stockholders have already been taxed once as corporate income One advantage of the corporate form of organization is

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Dividends paid to corporate stockholders have already been taxed once as corporate income One advantage of the corporate form of organization is that income received by stockholders is not taxable since the corporation already paid taxes on the income distributed. A corporation must have more than 100 stockholders to qualify for Subchapter S designation. Corporate governance issues have become less important to the financial community during the first decade of the new millennium. Agency theory assumes that corporate managers act to increase the wealth of corporate shareholders. The Sarbanes-Oxley Act is primarily intended to increase public scrutiny of private companies that had previously been exempt from many public disclosure requirements.

The primary market includes the sale of securities by way of initial public offerings

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