Identify Which of the Following Statements Is True

question 106

Multiple Choice

Identify which of the following statements is true.

• A)The period for payment of estate taxes may be extended if the executor shows "reasonable cause" for not being able to pay some, or all, of the estate tax liability on the regular due date.
• B)The estate tax on interests in certain closely held businesses may be paid in installments over a 15-year period if elected.
• C)An executor may elect to postpone payment of the estate tax attributable to a remainder or reversionary interest until eight months after the interests of the other person(s)terminate.
• D)All of the above are false.

Solve basic algebraic expressions and equations involving financial contexts.

Calculate the effects of interest rates over different periods and compounding intervals.

Apply precision and accuracy principles in financial mathematics to ensure reliable outcomes.

Convert fractions to decimal and percent forms, identifying repeating and terminating decimals.

---

Definitions:

Entrepreneur

A person who organizes, operates, and assumes the risk for a business venture, often introducing new products, services, or business processes.

Short-Term Loans

Financial borrowing intended to be repaid within a short period, usually less than a year.

Discounted Present Value

A method of valuing a future amount of money by applying a discount rate to adjust for time and risk.