Identify Which of the Following Statements Is False

question 79

Multiple Choice

Identify which of the following statements is false.

• A)Jean and Blossom form an equal partnership. Jean contributes $10,000 cash and Blossom contributes property with a $10,000 FMV and a $5,000 basis. When the partnership sells the property contributed by Blossom for $10,000 shortly after the formation, Blossom must include the $5,000 gain in her income.
• B)In order to shift income/loss between partners, there must be substantial economic effect.
• C)The BB Partnership wants to make a special allocation of $10,000 of long-term capital gain to Bob and a special allocation of $10,000 of ordinary income to Briana. This allocation will have a substantial economic effect.
• D)Partners must make up negative balances in their capital accounts upon liquidation of the partnership.

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Definitions:

Family Stories

Narratives passed down within families that recount historical events, personal experiences, or cultural traditions, contributing to a shared identity.

Imagination

The ability of the mind to create images, scenarios, or concepts of things that are not present to the senses.

Parallel Distributed Processing

A computational approach in cognitive science, suggesting that information processing occurs through networks of interconnected nodes, simulating neural networks.

Processing Units

Components within a computer or digital system responsible for executing instructions and processing data.