Identify Which of the Following Statements Is False

question 51

Multiple Choice

Identify which of the following statements is false.

• A)Federal estate taxes related to income in respect of a decedent (IRD)is deductible by the estate in the year the IRD is includible in the estate's gross income.
• B)An example of deductions in respect of a decedent (DRD)are property taxes that accrued prior to the decedent's death but were not paid until after death.
• C)Items of IRD receive a step-up in basis as a result of the decedent's death.
• D)Interest earned but not received before death is IRD.

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Definitions:

Banker's Acceptance

A short-term financial instrument issued by a company but guaranteed by a bank as accepted for payment at a future date, often used in international trade.

Electronic Funds Transfers

The electronic transfer of money from one bank account to another, either within a single financial institution or across multiple institutions, via computer-based systems.

POS

Point Of Sale; a system used at retail locations to manage sales, inventory, and customer transactions.

Identification Card

A personal document issued by a competent authority that serves to identify the person named on it, typically including personal data and often a photo.