Which of the Following Statements Regarding Book-Tax Differences Is True

question 29

Multiple Choice

Which of the following statements regarding book-tax differences is true?

• A)Corporations are not required to report book-tax differences on their income tax returns.
• B)Corporations will eventually recognize the same amount of income for book and tax purposes for income-related temporary book-tax differences.
• C)Income excludable for tax purposes usually creates a temporary book-tax difference.
• D)None of the choices are true.

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Definitions:

Software Firewall

A software application or tool provided with a computer or device like an access point that can be configured to permit or block specific types of traffic.

Netstat

A command that can view current network connections and the local routing table for a PC.

Ports

Physical docking points on a computer or networking device used for connecting cables and peripherals.

Intermittent

Occurring at irregular intervals; not continuous or steady, often used to describe problems or behaviors in electronic devices that happen sporadically.