The amount of the addition to the reserve for bad debts for an accrual method taxpayer is allowed as a deduction for tax purposes, but is not allowed for a cash method taxpayer
a. True
b. False
Indicate whether the statement is true or false
False
RATIONALE: A reserve for estimated expenses (e.g., bad debt) is not allowed to an accrual method taxpayer for tax purposes because the economic performance test cannot be satisfied. For a cash method taxpayer, there is no addition to the reserve for bad debts because income has not been recognized that would have generated a debt.
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Describe the characteristics of goals that most effectively motivate people.
What will be an ideal response?
The AIDA concept:
A. proves promotional effectiveness is an insignificant abstract term B. demonstrates that buyers go through nine stages on the way to making a decision C. is a model effectively showing that advertising can move people to the purchase stage D. is a model for reaching promotional goals that propels consumers along the four stages of consumer involvement with a promotional message E. is a budget plan based on the effectiveness of various promotional mixes in achieving certain objectives
Installment credit is a loan that requires the borrower to make a series of equal payments over some fixed length of time
Indicate whether the statement is true or false
The loading of passengers' baggage onto an airplane by baggage handlers is a backstage contact employee action.
Answer the following statement true (T) or false (F)