An Individual Is Planning to Establish a New Corporation and Is

An individual is planning to establish a new corporation and is weighing the choice between the C corporation form and the S corporation form. She expects the corporation to be profitable each year, with all profits reinvested except to the extent needed to pay corporate taxes or shareholder taxes on profits. The shareholder's plan is to sell the business after six years for a substantial gain. Factors to consider in modelling the entity choice include all of the following except

A) the availability of the Sec. 1202 exclusion.
B) the shareholder's eligibility for the qualified business income deduction.
C) the individual's ordinary income and capital gains tax rates.
D) all of the factors must be considered in the modelling.