An Individual Who Is Convicted of Willfully Aiding or Assisting

question 28

Multiple Choice

An individual who is convicted of willfully aiding or assisting in the preparation of a false return is subject to which of the following penalties?

• A) Imprisonment up to 2 years and /or fine that cannot exceed $10,000.
• B) Imprisonment up to 5 years and /or fine that cannot exceed $50,000.
• C) Imprisonment up to 10 years and/or fine that cannot exceed $15,000.
• D) Imprisonment up to 3 years and/or fine that cannot exceed $100,000.

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Definitions:

Planned Activity Level

The expected volume of production or sales used in budgeting and decision-making processes.

Machine Hours

A measure of the amount of time a machine is operated, used for allocating manufacturing costs.

Flexible Budget Total

A financial plan that adjusts or varies with changes in the volume of activity or business.

Direct Labor Hours

The total hours of labor directly involved in producing goods or services, often used as a basis for allocating overhead costs.