A taxpayer who uses the cash method in computing gross income from his or her business must use the cash method in computing expenses of such business.
Answer the following statement true (T) or false (F)
True
See "Key Point" in text.
You might also like to view...
Which of the following statements is true regarding variance analysis in the modern manufacturing environment?
A) It requires all variances, regardless of size, to be investigated by managers. B) The use of ideal standards over practical standards will always be the best motivator to employees. C) An "unfavorable" variance should always be interpreted as "bad". D) It is often not available in a timely enough manner to be useful to employees.
A decentralized organizational structure is predicated on the belief that
A. lower-level managers and employees should go up the ladder of command for approval on most all strategic and operating issues of much importance. B. most company personnel have neither the time nor the inclination to direct and properly control the work they are performing and that they lack the knowledge and judgment to make wise decisions about how best to do their work. C. decision-making authority should be pushed down to the lowest organizational level capable of making timely, informed, and competent decisions. D. top executives should establish a collegial, collaborative culture where decisions are made by general consensus on what to do and when. E. strict enforcement of detailed procedures backed by rigorous managerial oversight is necessary because company personnel cannot be counted on to act wisely or keep costs to a bare bones level.
A start-up and an established company have entered into a business agreement. In this arrangement, the established company will provide capital and other resources and the start-up will contribute its technological expertise. This method of acquiring new technology is known as
A. internal development. B. benchmarking. C. research partnership. D. offshoring. E. technology trading.
An advantage of electronic communication within organizations compared to other methods is that
A. it reduces time and expenses devoted to traveling. B. there is enhanced ability to solve complex problems. C. there is lesser risk of leaks or negative portrayals. D. it is easier to pick up subtle, nonverbal clues. E. it takes less time to make higher-quality group decisions.