________ Income Is from Activities in Which the Taxpayer Does

question 1

Multiple Choice

________ income is from activities in which the taxpayer does not actively participate.

• A)Active
• B)Portfolio
• C)Passive
• D)Investment
• E)both C and D

---

Definitions:

Consolidation

Consolidation refers to the process of combining the financial statements of separate business entities, typically parent and subsidiary companies, into a single financial statement.

AASB 3

is an Australian accounting standard that specifies the procedures for accounting and reporting business combinations.

Business Combination

A transaction or other event in which an acquirer gains control over one or more businesses.