When the IRS Requires a Taxpayer to Change Accounting Methods

question 54

Multiple Choice

When the IRS requires a taxpayer to change accounting methods:

• A) The taxpayer may be subject to penalties and interest.
• B) The taxpayer generally is required to make the change as of the beginning of the earliest open year.
• C) The adjustments due to the change cannot be spread over subsequent years.
• D) Only a. and b. are correct.
• E) a., b., and c. are correct.

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Definitions:

Numeric Data

Data that consists of numbers, which can be used in mathematical operations and statistical analysis.

Sentinel Values

Sentinel values are special values in the context of computer programming and data processing that are used to mark or signal the end of a data structure, such as arrays or lists, without explicitly using data structure's size.

Sentinel Value

A sentinel value is a special value in the context of an algorithm which uses it to terminate a loop when it is encountered.