Identify Which of the Following Statements Is True

question 61

Multiple Choice

Identify which of the following statements is true.

• A)When a new corporation joins an affiliated group, all of its income and expense items for the tax year, including the acquisition date, must be allocated between the separate tax return and consolidated tax return that are to be filed based on the number of days included in each of the two tax years.
• B)A consolidated return election may be revoked after 5 years.
• C)All members of a consolidated group must use the same tax year.
• D)All of the above are false.

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Definitions:

Top-Management

The highest level of management in an organization, including positions such as CEO, CFO, and other senior executives, responsible for strategic decisions and overall direction.

Social Responsibility Contributions

Efforts and actions taken by businesses to benefit society, including philanthropy, sustainability initiatives, and ethical labor practices.

Economic Contributions

The impact or input of an individual, group, or sector towards the economic development or sustainability of a community, region, or nation.

Short-Term Profits

Short-term profits are earnings realized from business operations or investments over a brief period, typically within a fiscal quarter or year, focusing on immediate financial gain.