Which of the Following Statements About an Investment in Undeveloped

question 60

Multiple Choice

Which of the following statements about an investment in undeveloped land is false?

• A) An investor can elect to capitalize interest expense on a mortgage incurred to purchase the undeveloped land.
• B) An investor can elect to capitalize property taxes on undeveloped land.
• C) An investment in undeveloped land is considered a liquid asset.
• D) Gain recognized on the sale of undeveloped land held as an investment is capital gain.

---

Definitions:

Withdrawal

The process of discontinuing a drug or substance to which one has become dependent, often leading to a range of physical and psychological symptoms.

Melatonin

A hormone produced by the pineal gland that regulates sleep patterns by signaling the body to prepare for sleep as the environment darkens.

Hormone

Hormones are chemical messengers produced by glands in the endocrine system, traveling through the bloodstream to tissues or organs, affecting many different processes, including growth, metabolism, and mood.

Tetrahydrocannabinol

The psychoactive compound found in the cannabis plant that is responsible for most of the plant's psychological effects.