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Which of the Following Statements Is False

question 47

Multiple Choice

Which of the following statements is false ?


Definitions:

Section 179 Expense

A tax deduction allowing businesses to deduct the full purchase price of qualifying equipment or software purchased or financed during the tax year.

Guaranteed Payment

A fixed payment made to a partner by a partnership, independent of the partnership's profitability.

Cash Distribution

The payment of earnings, interest, or dividends in cash to shareholders or partners by a corporation, partnership, or other entity.

Liquidating Distribution

A payment made by a corporation to its shareholders during its dissolution, distributing its assets to the owners according to their ownership share.

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