The cost of legal advice associated with the preparation of an individual's Federal income tax return is not deductible because it is a personal expense
a. True
b. False
Indicate whether the statement is true or false
False
RATIONALE: This deduction is expressly allowed under ยง 212.
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Unearned Revenue is a liability account
a. True b. False Indicate whether the statement is true or false
The ________ was drafted with the intention of addressing the issue of global warming through collective international action.
A. Clean Water Act B. Copenhagen Consensus C. Kyoto Protocol D. National Environmental Policy Act
Assume the indirect method is used to compute net cash flows from operating activities. For this item extracted from the financial statements-Gain on Sale of Investment-indicate the effect on net income in arriving at net cash flows from operating activities by choosing one of the following:
A) Add to net income to arrive at net cash flows from operating activities. B) Subtract from net income to arrive at net cash flows from operating activities. C) Not used to adjust net income to calculate net cash flows from operating activities.
Finnish Company converts its foreign subsidiary financial statements using the translation process. The company's subsidiary in Denmark reported the following for 2014: revenues and expenses of 95,000 and 63,000 kroner, respectively, earned or incurred evenly throughout the year, dividends of 43,000 kroner were paid during the year. The following exchange rates are available: On January 1 . 2014
.................................... $2.50 On December 31 . 2014 .................................. 3.00 Average rate for 2014 ................................. 2.70 Rate when dividends were declared and paid ............ 2.90 Translated net income for 2014 is a. $86,400. b. $96,000. c. $(29,700). d. $(28,500).