Which of the following statements best describes the priority of the tax treatment of a distribution from a corporation to a shareholder?
A. The distribution is a return of capital, then a dividend to the extent of the corporation's E&P, and finally gain from sale of stock.
B. The distribution is a dividend to the extent of the corporation's E&P, then a return of capital, and finally gain from sale of stock.
C. The distribution is a return of capital, then gain from sale of stock, and finally a dividend to the extent of the corporation's E&P.
D. The shareholder can elect to treat the distribution as either a dividend to the extent of the corporation's E&P or a return of capital, followed by gain from sale of stock.
Answer: B
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Companies with high brand awareness can more easily introduce new products and enter new markets
Indicate whether the statement is true or false