Which of the Following Is True Regarding Wally's Assertion Regarding

Multiple Choice

Which of the following is true regarding Wally's assertion regarding tax?

A) Wally is correct insofar as the corporation would be required to pay taxes on its profits, and the shareholders would also be required to pay taxes on dividends.
B) Wally is incorrect because all businesses are taxed in the same manner.
C) Wally is incorrect but only because the law involving taxation of corporations does not apply until there are at least 10 shareholders.
D) Wally is incorrect but only because the law involving taxation of corporations does not apply until there are at least 75 shareholders.
E) Wally is correct but only because his proposal does not involve a writing and the filing of paperwork with the secretary of their state.