Cal Contributes Property Valued at $50,000 (Adjusted Basis = $30,000)

question 43

Multiple Choice

Cal contributes property valued at $50,000 (adjusted basis = $30,000) to a partnership in exchange for a partnership interest valued at $40,000 and $10,000 cash.What is Cal's recognized gain or loss on these transfers?

• A)0
• B)$4,000
• C)$10,000
• D)$20,000

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Definitions:

Organizational Culture

The values, beliefs, attitudes, and behaviors shared by members of an organization that influence its social and psychological environment.

External Adaptation

The process by which an organization or individual modifies itself or its strategies to cope with changes in its external environment.

Niche

describes a specialized segment of the market for a particular kind of product or service, where specific demand exists.

Organizational Culture

The set of shared values, beliefs, behaviors, and norms that influence how work gets done within an organization.