Which of the following statements,if any,is characteristic of constructive dividends?
A) They must be available to the shareholders on a pro rata basis.
B) They can occur even if the corporation has no earnings and profits.
C) They must be formally declared and paid (i.e. ,declaration date,record date,payment date) .
D) They are not deductible by the corporation.
E) None of these.
Correct Answer:
Verified
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