As a Result of an IRS Audit, a Taxpayer May

question 32

True/False

As a result of an IRS audit, a taxpayer may be required to pay additional taxes, but he or she is never paid a refund.

---

Definitions:

Cash Receipts

The total amount of money, including cash, checks, and electronic transfers, received by a business during a given period.

Accounting Records

Documentation and books that maintain a systematic record of financial transactions and positions of a business.

Invoice Price

The amount charged by a seller for goods or services, exclusive of any discounts or allowances.

Journal Entries

The written records of financial transactions in the accounting system, indicating the accounts and amounts debited and credited.