The AB, BC, and CD Partnerships Merge into the ABCD

question 40

Multiple Choice

The AB, BC, and CD Partnerships merge into the ABCD Partnership. AB (owned by Austin and Ben) contributes assets worth $100,000. BC (owned by Ben and Charlie) contributes assets worth $200,000. CD (owned by Charlie and Dennis) contributes assets worth $300,000. The capital and profits interest in ABCD is owned by: Austin, 10%; Ben, 30%; Charlie, 25%; and Dennis, 35%. ABCD Partnership is a continuation of

• A)AB.
• B)BC.
• C)CD.
• D)none of the partnerships.

---

Definitions:

Organic Product

A chemical compound or substance produced by a living organism, often containing carbon.

Alkene Products

Compounds resulting from reactions involving alkenes, typically characterized by the presence of double bonds in their structure.

Cyclopentane

A cyclic hydrocarbon with the formula C5H10, consisting of a ring of five carbon atoms each bonded with two hydrogen atoms.

Organic Product

A compound resulting from organic reactions, primarily consisting of carbon atoms along with hydrogen, oxygen, nitrogen, and other elements.