For Purposes of Determining Gross Income, Which of the Following

question 91

Multiple Choice

For purposes of determining gross income, which of the following is true?

• A)A mechanic completed repairs on an automobile during the year and collects money from the customer.The customer was not satisfied with the repairs and sued the mechanic for a refund.The mechanic can defer recognition of the income until the suit has been settled.
• B)A taxpayer who finds a wallet full of money is required to recognize income even though someone may eventually ask for the return of the money.
• C)Embezzlement proceeds are not included in the embezzler's gross income because the embezzler has an obligation to repay the owner.
• D)All of these are false.
• E)All of these are true.

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Definitions:

Homologous Chromosome

Chromosomes that are paired during meiosis, having the same genes at the same loci but possibly different alleles.

Metabolic Pathway

A series of chemical reactions in which the product of one reaction becomes the substrate of the next reaction.

Enzyme

Biological molecules that act as catalysts, speeding up chemical reactions in the body without being consumed in the process.

Mutant Gene

A gene that has undergone mutation, altering its original function, which can have various effects on an organism's phenotype.