Which of the Following Statements Regarding Realized Income Is True

question 90

Multiple Choice

Which of the following statements regarding realized income is true?

• A)Taxpayers need not include realized income in gross income unless a specific provision of the tax code requires them to do so.
• B)Realized income requires some type of transaction or exchange with a second party.
• C)Once income is realized it may not be excluded from gross income.
• D)None of these statements is true.

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Definitions:

Educational Attainment

The highest educational level attained by an individual worker, employee group, or population.

Functional Authority

Authority that allows staff experts to make decisions and take actions normally reserved for line managers.

Line Managers

Supervisors or managers directly responsible for overseeing the work of front-line employees and ensuring the daily operations align with the organization's goals.

Human Resources

The department within an organization focused on managing and supporting its workforce, including recruitment, training, and employee relations.