Using the legend provided, classify each statement accordingly. In all cases, assume that taxable income is being adjusted to arrive at current E & P for 2016.
-Gain on installment sale in 2016 deferred until 2017.

Question

Quizplus · Accepted Answer

The gain on an installment sale deferred until 2017 would increase current E&P for 2016 because E&P is adjusted for income that is recognized for tax purposes in future years.

Using the Legend Provided, Classify Each Statement Accordingly