Which of the Following Is a Principle Used in Applying

question 82

Multiple Choice

Which of the following is a principle used in applying income sourcing under U.S.rules?

• A)Location of economic activity.
• B)Country with lowest tax rate.
• C)Country with highest tax rate.
• D)Potential size of allowed foreign tax credit.

---

Definitions:

Risk/Reward Tolerance

An individual's or entity’s capacity to assume risk with the expectation of receiving a corresponding return, balancing between potential gains and losses.

Venture Opportunities

Potential business concepts or markets that offer the chance for financial returns through the creation or expansion of enterprises.

Personal Criterion

An individual standard or principle used to judge or decide something.

Opportunity

A set of circumstances that makes it possible to do something or for something to happen, often leading to potential benefits.