1) For tax purposes, one of the requirements to recognize income is: A) All of these....

 

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1) For tax purposes, one of the requirements to recognize income is: A) All of these. B) The transaction must occur but it's not necessary to complete it. C) There must be an economic benefit. D) The income can be tax-exempt. 2) Pedro agreed to repair a house for a client and started to work on December 30, 2013. On January 2, 2015, he completed the job and received payment from the client. Pedro must record the income in: A) 2014. B) 2015. C) Both 2014 and 2015. D) 2013. 3) If Tom, an accountant, agrees to provide accounting services to Fred, a friend, in exchange for Fred fixing Tom's office floor, then: A) Neither Tom nor Fred must report income on their tax returns. B) Both of them must report income on their tax returns. C) Tom must report income on his tax return. D) Fred must report income on his tax return. 1) For tax purposes, one of the requirements to recognize income is: A) All of these. B) The transaction must occur but it's not necessary to complete it. C) There must be an economic benefit. D) The income can be tax-exempt. 2) Pedro agreed to repair a house for a client and started to work on December 30, 2013. On January 2, 2015, he completed the job and received payment from the client. Pedro must record the income in: A) 2014. B) 2015. C) Both 2014 and 2015. D) 2013. 3) If Tom, an accountant, agrees to provide accounting services to Fred, a friend, in exchange for Fred fixing Tom's office floor, then: A) Neither Tom nor Fred must report income on their tax returns. B) Both of them must report income on their tax returns. C) Tom must report income on his tax return. D) Fred must report income on his tax return.

Answer rating: 100% (QA)

1 option B is the correct answer Txtin f inme mes int ress nly when there is n enmi be... View the full answer