Question
In 2022, Blake incurs $270,000 of mining exploration expenditures and deducts the entire amount for regular tax purposes. Which of the following statements is incorrect?
In 2022, Blake incurs $270,000 of mining exploration expenditures and deducts the entire amount for regular tax purposes. Which of the following statements is incorrect?
a.For AMT purposes, Blake will have a positive adjustment of $243,000 in 2022.
b.Over a 10-year period, positive and negative adjustments for mining exploration expenditures will net to zero.
c.Mining expenditures do not create an AMT adjustment or preference.
d.Blake will have a negative AMT adjustment of $27,000 in 2026.
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Accounting Ethics
Authors: Ronald F. Duska, Brenda Shay Duska, Julie Anne Ragatz
2nd Edition
1405196130, 978-1405196130
