Which of the Following Statements Regarding Corporate Tax Return Schedules

question 31

Multiple Choice

Which of the following statements regarding corporate tax return schedules is correct?

• A)Schedule M-3 reconciles taxable income with earnings and profits.
• B)Schedule M-1 reconciles retained earnings at the beginning of the year to the end of the year amount.
• C)Schedule M-2 reconciles book-tax differences.
• D)Schedule M-3 reconciles book-tax differences.

---

Definitions:

Coccyg/o

Refers to the coccyx, the tailbone at the base of the vertebral column.

Chondr/o

Prefix in medical terminology meaning cartilage, relating to structures made of cartilage or conditions affecting cartilage.

Carp

A type of freshwater fish that is commonly found in rivers and lakes.

Osteosarcoma

A type of bone cancer that typically starts in the bones, often in the arm, leg, or pelvis, affecting mostly teenagers and young adults.