Match the Definition with the Correct Term

question 22

Multiple Choice

Match the definition with the correct term. Not all of the terms have a match. A definition can be used more than once.
-Owner of shares counted in determining whether a foreign corporation is a controlled foreign corporation.

• A)Foreign base company income
• B)Foreign personal holding company income
• C)Controlled foreign corporation
• D)U.S. shareholder
• E)Previously taxed income
• F)More than 10 percent
• G)More than 50 percent
• H)More than 80 percent

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Definitions:

Adjusting Entry

An accounting journal entry made at the end of an accounting period to update the accounts and ensure they comply with the accrual basis of accounting.

Borrowing Rate

The interest rate that a financial institution charges a borrower for the use of money.

Principal

The original sum of money borrowed in a loan, or the amount of the loan that has yet to be repaid, excluding interest.

Annual Payments

Regular payments made yearly, often referring to the interest or dividends paid by bonds or stocks.