Permanent Differences Include Items That Appear in the Federal Income

question 101

True/False

Permanent differences include items that appear in the Federal income tax return as income or deduction and in the
GAAP financial statements as revenue or expense but in different reporting periods.

---

Definitions:

Objective Tests

Standardized psychological tests that measure an individual's attributes or performance in a specific area by a set of questions with predefined answers, minimizing the subjective judgment of the tester.

Projective Tests

Psychological assessment tools that use ambiguous stimuli to elicit responses that reveal aspects of an individual's personality.

Aptitude Tests

Standardized tests designed to measure a person's ability or potential to acquire skills or knowledge.

Big Five Traits

A model that outlines five broad dimensions of human personality: openness, conscientiousness, extraversion, agreeableness, and neuroticism.