Which of the Following Businesses Is Prohibited from Using the Cash

question 61

Multiple Choice

Which of the following businesses is prohibited from using the cash receipts and disbursement method of accounting for tax purposes?

• A) Partnership with two individual partners with $9 million average annual gross receipts
• B) Personal service corporation with $8 million average annual gross receipts
• C) Corporation with $3 million average annual gross receipts
• D) None of the businesses are prohibited from using the cash method

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Definitions:

Effective Communicator

An individual who is able to convey information or ideas clearly and efficiently, ensuring understanding and engagement.

Oral Medium

A method of communication in which information is transmitted through spoken words, as opposed to written texts or visual images.

In-Person Channel

A communication or distribution method that involves direct, face-to-face interaction.

Nonverbal Cues

Communication signals given through body language, facial expressions, gestures, and other physical behaviors.