Why do K-1 entities provide K-1s to their owners and beneficiaries?

A. The K-1 entities own and pay taxes on only part of their operations; the individual owners must pay taxes on their share of the remaining profits. B. K-1s are the equivalent of form 1099, and report income paid to the individual during the year. C. The K-1 entity has paid cash for taxes owed by the individual and must provide the K-1 to the individual in order to receive a refund. D. K-1 entities pass income, gains, expenses, and losses through to their owners or beneficiaries so these can be taxed on their individual tax returns