Identify Which of the Following Statements Is True

question 15

Multiple Choice

Identify which of the following statements is true.

• A) Unrealized receivables include rights to payments on the sale of a capital asset.
• B) The primary purpose of Sec. 751 is to prevent partnerships from converting capital gains into ordinary income.
• C) If a partner sells property received in a partnership distribution for a gain and the property was inventory in the hands of the distributing partnership, the partner will always recognize ordinary income.
• D) All of the above are false.

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Definitions:

Singlehood

Describes the state of being unmarried or not involved in a romantic relationship.

Cohabitation

The living arrangement in which an unmarried couple lives together in a long-term relationship that resembles a marriage.

Mifegymiso

A medication combination used for medical termination of early pregnancy, consisting of Mifepristone and Misoprostol.

Medical Abortion

A method of terminating early pregnancy using pharmaceutical drugs rather than surgical procedures.