Regarding Taxation Years, Which of the Following Statements Is TRUE

question 7

Multiple Choice

Regarding taxation years, which of the following statements is TRUE?

• A)Corporate taxpayers must use the calendar year as their taxation year.
• B)The taxation year for an individual taxpayer typically ends on April 30^th.
• C)Individual taxpayers may choose any twelve-month period as their taxation year.
• D)A corporation may have a taxation year less than twelve months during a year the corporation is formed, dissolved, or is granted a change in its year-end.

Appreciate the implications of choosing between issuing bonds or stock from both the issuing company's and the investor's perspectives.

Identify and explain the two main methods of amortization of bond discounts and premiums.

Learn to record financial transactions involving bonds with detachable or convertible features.

Understand the classification and characteristics of different types of bonds.