Identify Which of the Following Statements Is True

question 63

Multiple Choice

Identify which of the following statements is true.

• A)A corporation that is a member of an affiliated group filing a consolidated tax return may be allowed a tax year which is different from the group's parent.
• B)An S corporation must generally use a calendar year.
• C)A corporation's first year must cover a twelve-month period.
• D)All of the above are false.

---

Definitions:

Malpractice Claim

A lawsuit brought against a professional (e.g., a doctor, lawyer) for harm caused due to their negligence or failure to meet the standards of their profession.

Valued Policy

A type of insurance policy that pays out a predetermined amount in the event of a total loss.

Open Policy

An insurance policy that provides coverage for all shipments or transfers under certain conditions over a specific period of time without the need for individual certificates.

Fair Market Value

The price that a property would sell for on the open market, where both buyer and seller have reasonable knowledge of all pertinent facts.