Dori and Matt Will Be Equal Owners of a New

Multiple Choice

Dori and Matt will be equal owners of a new business and will be making cash contributions to start up the business.They expect substantial losses in the early years so the business will take out a loan from the bank which Dori and Matt will have to guarantee.For tax purposes,the preferred business form for these early years will be

A) a C corporation.
B) an S corporation.
C) an LLC,taxed as a partnership.
D) either an S corporation or an LLC (partnership) .The owners will be indifferent between these two forms.