NWR Inc Is Structuring a Transaction That Will Require a $200,000

question 35

Multiple Choice

NWR Inc. is structuring a transaction that will require a $200,000 deductible cash expenditure. Which of the following structures is the most effective in terms of the time period variable?

• A) NWR will pay the cash and report the deduction in 20Y1.
• B) NWR will pay the cash and report the deduction in 20Y2.
• C) NWR will pay the cash in 20Y2 and report the deduction in 20Y1.
• D) NWR will pay the cash in 20Y1 and report the deduction in 20Y2.

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Definitions:

Desirable Behaviour

Actions or conduct that are considered preferable or appropriate within a given social or organizational context.

Reward

A reward is a benefit or recognition provided to someone for their performance, achievement, or behavior, aiming to motivate and encourage specific actions or outcomes.

Contingent Reinforcement

A form of behavior modification where the delivery of reward or punishment depends on the occurrence of a specific behavior.

Positive Reinforcement

A technique used in behavior management that involves giving a reward to encourage the repetition of a desirable behavior.