Multiple Choice
Which of the following is NOT a requirement for S-corporation election?
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1. Introduction to Accounting
Business Organization
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Which of the following content included in articles of incorporation is discretionary?
A
The names and addresses of the initial directors
B
The number of authorized shares
C
The corporation's name
D
The corporation's registered agent
Verified step by step guidance1
Understand the concept of articles of incorporation: Articles of incorporation are legal documents filed with a state to establish a corporation. They typically include mandatory and discretionary information about the corporation.
Identify mandatory content: Mandatory content usually includes the corporation's name, the number of authorized shares, and the corporation's registered agent. These are required by law to define the corporation's identity and structure.
Recognize discretionary content: Discretionary content refers to information that is not legally required but can be included at the corporation's discretion. For example, the names and addresses of the initial directors are not mandatory but can be added voluntarily.
Analyze the options provided: Review each option to determine whether it is mandatory or discretionary based on legal requirements for articles of incorporation.
Conclude which content is discretionary: Based on the analysis, identify the option that is not legally required but can be included voluntarily, which in this case is 'The names and addresses of the initial directors.'
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