Final answer:
The correct answer is c. Corporations are separate legal entities from their owners and do not pass entity-level losses through to the shareholders, unlike S Corporations, Partnerships, and LLCs.
Step-by-step explanation:
Out of the given options, entity-level losses do not flow through to shareholders in a C Corporation. This business structure is unique in that it is legally seen as its own entity separate from its owners. Therefore, the corporation itself is responsible for paying taxes on its profits, and the losses are not passed down to the individual shareholders.
While other forms like S Corporations, Partnerships, and Limited Liability Companies (LLCs) have the feature where profits and losses pass through to the owners or shareholders and are reported on their personal tax returns, a C Corporation does not have this pass-through taxation feature.