Identify Which of the Following Statements Is False

question 89

Multiple Choice

Identify which of the following statements is false.

• A)On June 30 of the current year, James Roe sells his interest in the Roe & Doe Partnership for $30,000. Roe's adjusted basis in Roe & Doe at June 30 is $7,500 before apportionment of any partnership income for the current year. The Roe & Doe Partnership uses the calendar year as its tax year and has no liabilities on June 30. Roe's distributive share of partnership income up to June 30 is $22,500. Roe acquired his interest in the partnership five years ago. Roe will have a long-term capital gain on the sale of his interest of $22,500.
• B)Section 751 assets include all inventory and all unrealized receivables in a sale or exchange situation.
• C)When a partnership interest is sold, the buyer and seller can allocate the sale price among the Sec. 751 assets and non-Sec. 751 assets in any reasonable manner.
• D)Statements B and C are true.

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Definitions:

Token Economy

A system of behavior modification based on the systematic reinforcement of target behavior through the exchange of tokens that can be exchanged for other reinforcements.

Stimulus Satiation

A decrease in responsiveness to a stimulus after repeated presentations.

Aversive Conditioning

A form of behavioral therapy that involves teaching individuals to associate unwanted behaviors with unpleasant stimuli to reduce or eliminate those behaviors.

Time Out

A behavior modification technique used to eliminate undesirable behavior, especially in children and adolescents, by withdrawing all reinforcers for a period of time.