Penalties may be imposed on a tax return preparer for an understatement of tax liability because of a position for which there is not a reasonable belief that there is substantial authority that the position will be sustained on its merits. But the penalties may be excused if
A. The preparer knew or should have known of the position.
B. The position was disclosed.
C. The understatement was unintentional.
D. There is reasonable cause and good faith.
Answer: D. There is reasonable cause and good faith.
Business
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(II) Capital markets provide an alternative to investment in assets such as real estate and gold. A) (I) is true, (II) false. B) (I) is false, (II) true. C) Both are true. D) Both are false.
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Which of the following is the minimum system architecture requirement for an e-commerce Web site that processes orders?
A) single-tier architecture B) two-tier architecture C) three-tier architecture D) multi-tier architecture
Business