For No Particularly Good Reason,Ms

question 12

Multiple Choice

For no particularly good reason,Ms.Totter failed to file her current-year Form 1040 by the due date.Which of the following statements is false?

• A)If the government owes Ms.Totter a refund of current-year tax,there is no penalty if she never files the return.
• B)The statute of limitations on the return will not begin to run until Ms.Totter files the return.
• C)If Ms.Totter owes additional current-year tax,she also will owe a late-filing and late-payment penalty.
• D)None of the above is false.

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Definitions:

Discount Period

The time frame within which a buyer can pay less than the full amount due on an invoice if payment is made promptly, often to encourage early payment.

Credit Terms

Conditions under which credit is extended by a lender to a borrower, including the repayment timetable, interest rate, and any other requirements.

Periodic Inventory Method

An inventory accounting method where the inventory balance is updated at specific intervals rather than after each purchase or sale.

Accounts Payable

Liabilities owed by a business to its suppliers or creditors for goods and services received but not yet paid for.