Test Bank – Fundamentals of Taxation 2026 Edition by Ana Cruz, Deschamps & Niswander

TEST BANK




** All Chapters included
** True/False, MCQs
** Short Answers

,Table of Contents are given below




1. Introduction to Taxation, the Income Tax Formula, and Form 1040

2. Expanded Tax Formula, Form 1040, and Basic Concepts

3. Gross Income: Inclusions and Exclusions

4. Adjustments for Adjusted Gross Income

5. Itemized Deductions

6. Self-Employed Business Income (Line 3 of Schedule 1 and Schedule C)

7. Capital Gains and Other Sales of Property (Schedule D and Form 4797)

8. Rental Property, Royalties, and Income from Flow- Through Entities (Line 5,

Schedule 1, and Schedule E)

9. Tax Credits (Form 1040, Lines 19, 20, 27 through 29, and 31, Schedule 3, Lines 1

through 14)

10. Payroll Taxes

11. Retirement and Other Tax-Deferred Plans and Annuities

12. Special Property Transactions

13. At-Risk/Passive Activity Loss Rules and the Individual Alternative Minimum Tax

14. Partnership Taxation

15. Corporate Taxation

,The test bank is organized in reverse order, with the last chapter displayed first, to ensure that all
chapters are included in this document. (Complete Chapters included Ch15-1)

Chap 15 2026 - Cruz
TRUE/FALSE - Write 'T' if the statement is true and 'F' if the statement is false.
1) All C corporations file their tax returns using a Form 1120.
1) ______
⊚ true
⊚ false

Question Details
Accessibility : Screen Reader/Keyboard/CC
Bloom's : Remember
Difficulty : 1 Easy
Gradable : automatic
Learning Objective : 15-01 Describe corporate formation and filing requirements.
Topic : Corporate Formation and Filing Requirements
Source : Chapter 15 Test Bank - Static > TB TF Qu. 15-01 All C corporations file their tax returns...



2) Large C corporations must use the accrual basis of accounting.
2) ______
⊚ true
⊚ false

Question Details
Accessibility : Screen Reader/Keyboard/CC
Bloom's : Remember
Difficulty : 1 Easy
Gradable : automatic
Learning Objective : 15-01 Describe corporate formation and filing requirements.
Topic : Corporate Formation and Filing Requirements
Source : Chapter 15 Test Bank - Static > TB TF Qu. 15-02 Large C corporations must use the...




Version 1 1

, 3) Corporate tax returns are due 3½ months after the end of their tax year, the same as
individual income tax returns.
3) ______
⊚ true
⊚ false

Question Details
Accessibility : Screen Reader/Keyboard/CC
Bloom's : Remember
Difficulty : 1 Easy
Gradable : automatic
Learning Objective : 15-01 Describe corporate formation and filing requirements.
Topic : Corporate Formation and Filing Requirements
Source : Chapter 15 Test Bank - Static > TB TF Qu. 15-03 Corporate tax returns are due 3½ months...



4) To legally operate as a corporation in most states, the incorporators must simply file a
corporate federal income tax return.
4) ______
⊚ true
⊚ false

Question Details
Accessibility : Screen Reader/Keyboard/CC
Bloom's : Remember
Difficulty : 1 Easy
Gradable : automatic
Learning Objective : 15-01 Describe corporate formation and filing requirements.
Topic : Corporate Formation and Filing Requirements
Source : Chapter 15 Test Bank - Static > TB TF Qu. 15-04 To legally operate as a corporation in most...




Version 1 2