Which of the Following Is a True Statement

question 5

Multiple Choice

Which of the following is a true statement?

• A)The standard deduction is increased for taxpayers who are blind or deaf at year end.
• B)A married couple is only entitled to one addition to their standard deduction even if both spouses are both over age 65.
• C)Bunching itemized deductions is an illegal method of tax avoidance.
• D)Before any applicable phase-out,the deduction for personal and dependency exemptions is $3,900 times the number of exemptions.
• E)All of these are truE.For 2013,each exemption is worth $3,900.

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Definitions:

Bargaining Power

The ability of a party to exert influence over another party in negotiations to obtain favorable terms.

Financial Statements

Financial statements are formal records of the financial activities and position of a business, person, or other entity, typically including the balance sheet, income statement, and cash flow statement.

Shareholder Lawsuits

Legal actions initiated by investors against a corporation’s management or board, typically for breaches of fiduciary duty.

Accounting Irregularity

Instances of non-compliance with accounting standards or practices, often leading to misstated financial statements.