Identify Which of the Following Statements Is True

question 29

Multiple Choice

Identify which of the following statements is true.

• A)The ACE adjustment is required of S corporations.
• B)The 70% dividends-received deduction reduces preadjustment AMTI to arrive at ACE.
• C)The 80% dividends-received deduction can be claimed when computing a corporation's adjusted current earnings (ACE).
• D)All of the above are false.

---

Definitions:

Anomeric Carbon

The carbon atom in a cyclic saccharide that is connected to two oxygen atoms, one in an ether linkage and the other in a hydroxyl group, and its configuration determines the alpha or beta form of the saccharide.

Glycoside

A molecule in which a sugar is bound to another functional group or molecule through a glycosidic bond.

D-Aldopentose

A type of aldopentose, which is a 5-carbon sugar with an aldehyde group, having the 'D' configuration.

Alditol

A type of sugar alcohol resulting from the reduction of an aldose, wherein the aldehyde group is converted into a hydroxyl group.