Rob, Bill, and Steve Form Big Company

question 54

Multiple Choice

Rob, Bill, and Steve form Big Company. Rob performs $45,000 of services for his shares of the company. Bill transferred property with a basis of $5,000 for $75,000 of stock. Steve contributes cash of $100,000 for his shares. Which of the three must recognize income in the year of the formation?

• A)Rob
• B)Rob, Bill
• C)Bill
• D)Steve, Bill
• E)Steve, Rob

Recognize characteristics such as objectivity that facilitate consideration of all sides of an issue.

Understand how audience perception (e.g., "What's in this for me?") affects the reception of messages.

Develop skills for delivering negative feedback positively.

Differentiate between delivering negative news and adopting a negative tone.

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Definitions:

Corporate Actors

Organizations and companies that, when viewed as single entities, play significant roles in socio-economic and political arenas, influencing policies and market dynamics.

James Coleman

An American sociologist whose work significantly contributed to educational sociology, social theory, and the study of social capital.

Positivist Orientation

An approach in social science that emphasizes the use of empirical evidence and scientific methods to understand and explain social phenomena.

Exchange Theory

A social psychological and sociological perspective that explains social change and stability as a process of negotiated exchanges between parties.