Which one of the following qualifies as an eligible corporation for S corporation purposes?

Question

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To qualify as an eligible corporation for S corporation purposes, the corporation must be a domestic corporation, have no more than 100 shareholders, have only one class of stock, and have eligible shareholders (individuals, estates, and certain trusts). Option B meets the requirement of being a domestic corporation that owns 80 percent of another corporation, and therefore can qualify as an S corporation. Option A is incorrect because a foreign corporation cannot be an S corporation. Option C is incorrect because a life insurance company cannot be an S corporation.

Which One of the Following Qualifies as an Eligible Corporation