Question
ACME Partnership has had the following gross receipts since its formation: $1.8 million in 2014, $4.6 million in 2015, $8.8 million in 2016, $1.6 million
ACME Partnership has had the following gross receipts since its formation: $1.8 million in 2014, $4.6 million in 2015, $8.8 million in 2016, $1.6 million in 2017, and $10 million in 2018. Partner Meile, Inc. is a Subchapter C corporation. In what tax years must ACME use the accrual method?
| a. | 2017 and all following years, because average annual gross receipts are more than $5 million in 2016. | |
| b. | 2014 and all following years, because it has a partner that is a Subchapter C corporation. | |
| c. | 2016 and all following years, because gross receipts are more than $5 million that year. | |
| d. | 2016 and 2018 because those are the only years in which gross receipts exceeded $5 million. | |
| e. | 2017 and 2019 because those are the only years in which the prior years gross receipts exceeded $5 million. |
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The Art Of Integrating Strategic Planning Process Metrics Risk Mitigation And Auditing
Authors: J.B. Smith
1st Edition
0873899253, 978-0873899253
