Indicate Which of the Following Statements Is/are Correct

question 12

Multiple Choice

Indicate which of the following statements is/are correct:
I.A cash basis taxpayer may deduct prepaid rent if it will be used-up within one year of prepayment and the payment is required to be made.
II.An accrual basis taxpayer must satisfy an all-events test and an economic performance test to claim a deduction.
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• A)Only statement I is correct.
• B)Only statement II is correct.
• C)Both statements are correct.
• D)Neither statement is correct.

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Definitions:

Prospecting

The process of identifying potential customers or clients for a business's products or services.

Potential Customers

Individuals or organizations that are likely to be interested in purchasing a company's products or services.

Lead Initiation

The process of identifying and beginning contact with potential customers or clients.

Leads

Potential customers who have shown interest in a company's products or services, often considered the first step in the sales process.