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:

Plasmodesmata

Cytoplasmic channels connecting adjacent plant cells and allowing for the movement of molecules and ions between cells.

Gap Junctions

Gap junctions are specialized intercellular connections between a multitude of animal cell-types, facilitating the direct transfer of ions and small molecules.

Desmosomes

Buttonlike plaques, present on two opposing cell surfaces, that hold the cells together by means of protein filaments that span the intercellular space.

Gap Junctions

Specialized cell-cell connections that enable direct communication by allowing the transfer of ions and small molecules between neighboring cells.