Which of the Following Statements Is False Regarding Consolidated Tax

question 10

Multiple Choice

Which of the following statements is false regarding consolidated tax returns?

• A)An affiliated group can file a consolidated tax return only if it elects to do so.
• B)To file a consolidated tax return,one corporation must own at least 50% of the stock of another corporation.
• C)For a group of corporations filing a consolidated tax return,an advantage is that losses of one group member may offset gains of another group member.
• D)For a group of corporations filing a consolidated tax return,losses from certain intercompany transactions are deferred until realized through a transaction outside of the group.

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Definitions:

Phenylalanine

An essential amino acid required for the biosynthesis of proteins, not synthesized by the human body and obtained through diet.

Metabolize

The chemical process by which the body breaks down substances to provide energy or use them in growth and repair of tissues.

Genotype

describes the genetic makeup of an organism in terms of the alleles it carries for a particular trait, which can influence its phenotype or outward appearance.

Specific Genes

Particular segments of DNA that are responsible for the inheritance of distinct traits.