Question

At the end of the current year, Z Inc., an accrual-basis, calendar-year tax payer, accrued
and deducted the following bonuses for its employees:
For L, a 30% shareholder - $7,500
For J. a 35% shareholder - $10,000
For H, a 20% shareholder - $12.500
For S, a 0° shareholder - $5,000
If, Z Inc., paid the bonuses on March 1 of the next year, how much of the accrued
bonuses can the company deduct in the current year?
I
a. $5.000
b. $17.500
c. $27.500
d. $35.000​

Answer 1

Answer:

a. $5.000......is the right answer.....