An Affiliated Group Elects the Use of the Consolidated Method

question 72

Multiple Choice

An affiliated group elects the use of the consolidated method for filing its tax return by

• A)filing Form 1120.
• B)filing a consent to the election from each member of the affiliated group in the initial year.
• C)filing an affiliations schedule.
• D)All of the above are necessary for the election.

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Definitions:

Ethical Lapses

Instances where individuals or organizations fail to act in accordance with their ethical principles or standards.

Supply Chain

A system involving the production, handling, and distribution of goods and services, from raw materials to the final consumer.

Make-Or-Buy Decision

A strategic choice businesses make between internally manufacturing a product or purchasing it from an external supplier.

Outsourcing

The practice of hiring third-party vendors to perform tasks, handle operations or provide services that are either difficult to manage or outside the expertise of the main business.