While a C Corporation's Losses Cannot Be Used by Their

question 45

Multiple Choice

While a C corporation's losses cannot be used by their shareholders to offset personal income,a C corporation may carry back and carry forward losses to help offset the taxable income a corporation had or will have.How are these net operating losses carried back and carried forward?

• A) Carried back two years, carried forward indefinitely.
• B) Carried back indefinitely, carried forward two years.
• C) Carried back two years, carried forward five years.
• D) Carried back two years, carried forward twenty years.
• E) None of the choices are correct.

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Definitions:

Sensory Neurons

Nerve cells responsible for converting external stimuli from the organism's environment into internal electrical impulses.

Interneurons

Neurons located between sensory and motor pathways in the nervous system, involved in the processing and relay of information.

Spinal Cord

A long, thin, tubular bundle of nervous tissue and support cells that extends from the brain, enabling motor and sensory communication between the body and brain.

Spatial Summation

Summation of the local potentials in which two or more action potentials arrive simultaneously at two or more presynaptic terminals that synapse with a single neuron.