During 2017 and 2018,Danny Pays Property Taxes of $3,500 Each

question 97

Multiple Choice

During 2017 and 2018,Danny pays property taxes of $3,500 each year on a piece of land.During 2017,the land is vacant and unproductive.In 2018,Danny uses the land as a parking lot and generates $16,000 in income.Which of the following is true regarding the property taxes?

• A)Capitalize $3,500 each year.
• B)Deduct $3,500 each year.
• C)Capitalize $3,500 in 2017 and deduct $3,500 in 2018.
• D)Either B or C is acceptable.

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Definitions:

Memory Modules

Physical components that store digital information temporarily or permanently, such as RAM sticks or SSDs.

Expansion Cards

Interface devices that can be added to a computer to provide additional functions such as improved video, sound, or network capabilities.

Flash Memory Cards

Portable storage devices that use flash memory for storing data, widely used in digital cameras, smartphones, and other electronic gadgets.

Memory Modules

Hardware components that include integrated circuits used to store data or programs (software) temporarily or permanently in computers or other electronic devices.