Which Statement, If Any, Is False

question 38

Multiple Choice

Which statement, if any, is false?

• A)An S corporation is subject to the corporate AMT.
• B)A high level of investment in assets (e.g., equipment or structures) is a reason a company may be subject to the AMT.
• C)Many of the adjustments that apply to individuals also apply to corporations.
• D)The AMT is a separate tax system from the corporate income tax.
• E)None of the above.

---

Definitions:

Supplies

Items used in the operation of a business or in the production of goods and services that are typically consumed within a short period.

Purchased

Acquisition of goods or services in exchange for money or its equivalent.

Required

Mandatory or necessary conditions or items specified for a particular purpose or activity.

Adjusting Entry

A journal entry made in accounting records at the end of an accounting period to allocate income and expenses to the period in which they actually occurred.