Which of the Following Is Not a Characteristic of a Like-Kind

question 68

Multiple Choice

Which of the following is not a characteristic of a like-kind exchange?

• A) The holding period for like-kind property includes the holding period of the property surrendered.
• B) Receipt of boot can cause gain recognition up to the gain realized.
• C) Business realty can be exchanged for business personalty.
• D) Personal-use assets do not qualify for like-kind exchanges.

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Definitions:

Net Income

The total earnings of a company after subtracting all expenses, taxes, and costs, also known as the bottom line.

End-of-Period Spreadsheet

A financial summary prepared at the close of an accounting period, emphasizing the consolidation and reporting of financial results and activities.

Depreciation Expense

Distributing the expense of a physical asset across its lifespan, representing the reduction in its worth as time progresses.

Unearned Revenue

Money received by a company for products or services that have not yet been delivered or completed, considered a liability until the revenue is earned.