Examlex
Instructions: Identify the following terms.
Muhammad Ali
Receivables
Receivables refer to the funds that a company is entitled to receive from customers for goods or services delivered or agreed upon.
§ 179 Expense
This refers to a U.S. tax code provision allowing businesses to deduct the full purchase price of qualifying equipment or software within the tax year, aimed at encouraging business investment and growth.
Separately Stated Items
Tax items stated separately on the K-1 form from a partnership or S corporation, allowing for proper reporting and treatment on individual returns.
Ordinary Income
Income earned from standard operations of business or through wages, as opposed to capital gains or dividend income.
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