The Income Tax Law Established Which of the Following as a Basis

question 34

Multiple Choice

The income tax law established which of the following as a basis for taxation?

• A)Economic income
• B)Increase in wealth
• C)Business income
• D)Accounting income

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Definitions:

Accounts Receivable

Accounts receivable is the balance of money due to a firm for goods delivered or services provided but not yet paid for by customers.

Disbursement of Funds

The process of paying out money from a fund or account to various recipients.

Blanket Lien

A legal claim that gives a lender rights to the borrower's assets as collateral for a loan, covering all of the borrower's assets rather than specific assets.

Disbursement of Funds

Disbursement of funds refers to the payment of money from a fund or account, typically for specific purposes or expenses.