Question: Section 5 Question 10 of 30. Which statement regarding book capital accounts and tax capital accounts is incorrect? The book capital account and the tax

Section 5 Question 10 of 30. Which statement regarding book capital accounts and tax capital accounts is incorrect? The book capital account and the tax capital account may vary due to depreciation. The book capital account reflects adjusted basis while the tax capital account reflects FMV. Both can have a negative balance. The book capital account and the tax capital account may vary because of revaluation of assets. Mark for follow up

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