Blaine Contributes Property Valued at $50,000 (Basis of $40,000) in Exchange

question 173

True/False

Blaine contributes property valued at $50,000 (basis of $40,000) in exchange for a 25% interest in the BIKE Partnership. If the property is later sold for $70,000, gain of $15,000 will be allocated to Blaine.

---

Definitions:

Sales Quota

A specific sales performance target set for a salesperson or team to achieve within a specified time frame.

Reflexive Response

An automatic, involuntary reaction to a stimulus that does not involve conscious thought.

Conditioned Response

A learned response to a previously neutral stimulus that has been repeatedly presented along with an unconditioned stimulus.

Stimulus

Any event or situation that evokes a response from an organism or system.