Which of the Following Statements Regarding Net Operating Losses Generated

question 15

Multiple Choice

Which of the following statements regarding net operating losses generated in 2020 is true?

• A) Corporations can carry NOLs back two years and forward up to 20 years.
• B) A corporation can carry over the NOL indefinitely.
• C) A corporation can carry NOLs back two years and forward indefinitely.
• D) When a corporation applies a net operating loss carryover, it reports a favorable, permanent book-tax difference in the amount of the applied carryover.
• E) None of these is a true statement.

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Definitions:

Previous Record Button

A feature in database-related software for navigating backward to view the record entered immediately before the current one.

Form View

A display format in databases and applications that allows users to enter or view one record at a time.

Navigation Bar

A user interface element which contains links to the main sections of a website or application, often displayed at the top or side.

Label Control

A user interface element used to display text on a form or webpage, often static and used for titles, descriptions, or instructions.