Which of the Following Statements Regarding Realized Income Is True

question 87

Multiple Choice

Which of the following statements regarding realized income is True?

• A) Taxpayers need not include realized income in gross income unless a specific provision of the tax code requires them to do so.
• B) Realized income requires some type of transaction or exchange with a second party.
• C) Once income is realized it may not be excluded from gross income.
• D) None of these statements is True.

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Definitions:

Eyeballs

The globular organs in the skull through which vision is perceived; also known as the eyes.

Skull

The bony structure forming the head, protecting the brain and supporting the structures of the face.

Sensory Impulses

Electrical messages that are transmitted along sensory neurons, carrying information from sensory receptors to the central nervous system.

Optic Nerve

A paired nerve that transmits visual information from the retina to the brain.