Boxed Questions
These questions are designed to make students apply the concepts or provisions they have been reading about. Immediate feedback can be obtained by checking answers to exercises against the answers provided at the back of each chapter. This question technique is designed to prevent students from continually reading without comprehending what they read. Students will get much more out of this textbook if they take the time to think about each question and answer it before reading the answer provided. Some questions are provided for class discussion with no answers given at the end of the chapters. These questions should be answered so that students are prepared for class discussions.

Footnotes
Because of the conceptual approach of this book, references to legal authority have not been included in the body of the text. However, footnotes are included that will lead students to the legal authority should they want to do further study on any topic.

Tax Forms
Because this textbook provides a conceptual overview to taxation as relevant to business transactions, it does not emphasize tax compliance. Thus, reference to tax forms is limited. However, tax compliance cannot be completely ignored because it is a reality of taxation. At the end of each chapter a list of federal tax forms relevant to the topics covered in the chapter is provided. These forms can be obtained at the Internal Revenue Service (IRS) Internet site should they be needed for an exercise or reference.

End of Chapter Exercises

The exercises at the end of each chapter are divided into nine categories:

1. Review Exercises serve to check comprehension of information discussed in the chapter.

2. Integration Exercises require that information covered in the chapter be applied to topics covered in prior chapters and/or other business courses.

3. Application Exercises present an opportunity to apply the information presented in the chapter to a particular fact pattern. Several of these exercises also require that ethical considerations be identified and addressed.

4. Tax Planning Exercises take application of provisions covered in the chapter one step further by having students take the role of a tax or business adviser and identify the best and most appropriate course of action for a company or individual.

5. Tax Form Review Exercises involve either the review or completion of specified tax forms. Some of these tax forms are included in Appendix A; others can be obtained at the IRS Internet site.

6. Tax Policy Exercises present an opportunity for students to analyze an existing or proposed tax provision in terms of its likely rationale, effectiveness, and how it could be improved. Critical thinking and problem solving skills will be used in answering these exercises, which will help students to understand the tax law beyond how it operates to determine a business's tax liability.

7. Research Exercises require students to first obtain materials in order to complete the problem. Generally, these materials can be found on the Internet, in newspapers and business periodicals, and in the tax section of your campus library.

8. Technology Exercises involve the application of technology, such as designing a spreadsheet or using presentation software to create a visual solution. They also require that some technological application of tax provisions covered in the chapters be analyzed.

9. Progressive Exercises are the last exercise in each chapter. They build from chapter- to-chapter and require that tax concepts and rules are applied to a small start-up company as it grows.