Which of the Following Is Not a True Statement About

question 13

Multiple Choice

Which of the following is not a true statement about "listed" property?

• A)An ambulance is "listed" property.
• B)A taxpayer can elect to expense an asset if its business use is greater than 50 percent.
• C)If business use drops below 50 percent,then the prior years' excess depreciation must be added to income.
• D)A taxpayer must use straight- line depreciation if the business use is below 50 percent.

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Definitions:

Restrictive Clauses

Provisions in contracts that limit certain activities or behaviors to protect contractual interests, often found in loan agreements and employment contracts.

Senior Debt

Debt that has priority over other unsecured or otherwise more junior debt owed by the issuer in the case of bankruptcy.

Debentures

A type of long-term debt instrument that is not secured by physical assets or collateral.

Callable Unsecured Bonds

Bonds that can be redeemed by the issuer before their maturity date at a specified call price and are not secured by collateral.