Question
With respect to determining net business income for tax purposes, which of the following statements is NOT correct? Select one: a. Amounts received for goods
With respect to determining net business income for tax purposes, which of the following statements is NOT correct?
Select one:
a.
Amounts received for goods to be delivered in the future must be included in the determination of net business income for tax purposes.
b.
A reserve that is deducted in the current taxation year, must be added back to income in the following taxation year.
c.
Bad debts written off in the previous year for tax purposes that are recovered in the current year must be added to net business income for tax purposes for the current year.
d.
As long as some part of the proceeds for goods sold is not collectible until future periods, a reserve for uncollected amounts can be deducted.
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