In Order to Be a Qualifying Relative of Another,an Individual's

question 94

Multiple Choice

In order to be a qualifying relative of another,an individual's gross income must be less than ________.

• A)the applicable standard deduction amount
• B)a fixed amount,indexed for inflation
• C)one-half of the individual's support
• D)None of the choices are correct.

---

Definitions:

Current Asset

Short-term assets that are expected to be converted into cash within one year or within the business's operating cycle.

Shareholders' Equity

Refers to the residual interest in the assets of a corporation after deducting liabilities, indicating the net worth available to shareholders.

Liquid Asset

An asset that can easily and quickly be converted into cash without significantly impacting its value.