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Identify which of the following statements is true.
A) A corporation that accrues compensation payable to an
employee must pay the amount within two and one-half months after
the close of the taxable year to deduct the amount in the year of
the accrual.
B) Accrued compensation that is deductible in the year of
accrual is considered to be part of an IRS deferred compensation
plan.
C) Accrued compensation not paid within three and one-half
months after the close of the corporation tax year is deducted in
the year following the accrual.
D) All are false.

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