When does the double taxation problem faced by corporations exist?
A) Whenever a corporation earns a profit, pays taxes on that profit, and then pays interest to its bondholders.
B) Whenever a corporation earns a profit, pays taxes on that profit, and then pays dividends to its stockholders who pay personal taxes.
C) Whenever a corporation earns a profit and pays taxes on that profit.
D) Whenever a corporation earns a profit, pays taxes on that profit, and then pays dividends to its tax-exempt shareholders.
E) Whenever stockholders are paid a dividend and are taxed on that dividend income.
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