________ Are Expenses That a Taxpayer Is Allowed to Deduct

question 51

Multiple Choice

________ are expenses that a taxpayer is allowed to deduct from adjusted gross income.

• A)Exemptions
• B)Exclusions
• C)Itemized deductions
• D)Tax credits
• E)Passive income

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Definitions:

Fixed Costs

Costs that remain constant in total regardless of changes in the level of activity within a relevant range.

Static Budget

A budget that is based on fixed assumptions and does not change with variations in business activity levels.

Master Budget

A comprehensive financial planning document incorporating all of an organization's financial plans, including sales, production, and cash budgets.

Overhead Budget

An estimation of variances and anticipated indirect costs associated with the normal operations of a business.