Identify Which of the Following Statements Is True

question 27

Multiple Choice

Identify which of the following statements is true.

• A)Depreciation on real property may be a tax preference item for purposes of computing AMT.
• B)Depreciation on real property may be an adjustment item for purposes of computing AMT.
• C)Adjustments to taxable income always increase alternative minimum taxable income.
• D)Both A and B are true.

---

Definitions:

Shearing

A process involving the cutting or trimming of the wool from sheep or other animals, or the cutting of material using shears.

Milling

The process of machining using rotary cutters to remove material by advancing a cutter into a workpiece.

National Institute

A significant, authoritative organization dedicated to research, often in specific academic or professional fields.

Health Criteria

Standards or guidelines used to measure and assess the state of physical and mental health.