All of the Following Are True Except

question 46

Multiple Choice

All of the following are true except:

• A)A nonsimultaneous exchange may never qualify as a like-kind exchange.
• B)Nonrecognition of gains and losses is mandatory if the exchange is a like-kind exchange.
• C)A loss may be recognized on non-like-kind property (boot)if the taxpayer transfers the boot in an otherwise like-kind exchange.
• D)The holding period of like-kind property received includes the holding period of the property exchanged.

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Definitions:

Economic Analysis

The systematic approach to determining the optimal use of scarce resources, involving comparison of costs and benefits.

Consumers

Individuals or entities that purchase goods and services for personal use or consumption, driving demand in the economy.

Productive Resources

Inputs used in the production of goods and services, such as land, labor, and capital.

Fundamental Economic

Relating to the basic principles and models that underlie economic theory and practice.