Which of the following statements about S corporations are CORRECT?
S corporation status offers greater opportunity for raising additional capital than do other forms of business structure.
Stockholders of S corporations are taxed on the net profits of the corporation, even if they do not receive taxable dividends.
An S corporation may have no more than 50 shareholders.
An S corporation may have only one class of stock.
A) I and III.
B) III and IV.
C) II and IV.
D) I and II.
Answer: D) II and IV.