Which One of These Is Correct

question 9

Multiple Choice

Which one of these is correct?

• A)Depreciation has no effect on taxes.
• B)Interest paid is a noncash item.
• C)Taxable income must be a positive value.
• D)Net income is distributed either to dividends or retained earnings.
• E)Taxable income equals net income × (1 + Average tax rate).

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Definitions:

Frequency Source

A device or component that generates a steady and specific frequency of electrical signal.

Capacitive Reactance

The opposition that a capacitor presents to the change in voltage, measured in ohms.

Frequency Source

An electronic component or circuit that generates a signal of a specific frequency, used in various types of electronic equipment.

Capacitive Reactance

The resistance a capacitor offers to AC current, dependent on the frequency of the current and the capacitance value.