A Cases's Basis Is More Likely to Contract Than Expand

question 17

True/False

A cases's basis is more likely to contract than expand as investigation and discovery yield more information.

---

Definitions:

Bankruptcy

A legal procedure for dealing with debt problems of individuals and businesses; officially declaring the inability to pay outstanding debts.

Appliance Manufacturer

A company involved in designing, producing, and selling electrical or mechanical devices for domestic use.

Mutual Fund

An investment program funded by shareholders that trades in diversified holdings and is professionally managed.

Mortgage

A loan used to purchase a property, where the property itself serves as collateral until the loan is paid off.