Which of the Following Statements Regarding Disproportionate Distributions Is False

question 25

Multiple Choice

Which of the following statements regarding disproportionate distributions is false?

• A) Disproportionate distributions will only occur in liquidating distributions.
• B) The tax provisions related to disproportionate distributions attempt to preserve the partners' share of ordinary income potential.
• C) A disproportionate distribution occurs when a partner receives less than his proportionate share of the partnership's hot assets.
• D) A disproportionate distribution occurs when a partner receives more than his proportionate share of the partnership's hot assets.

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Definitions:

EEG

Electroencephalogram, a test that measures the electrical activity of the brain and is used in the diagnosis and treatment of neurological conditions.

Alpha Waves

Brain waves that indicate a state of relaxation or light sleep.

Beta Waves

Smaller and faster brain waves, typically indicating mental activity.

Sleep Spindles

Brief bursts of brain activity that occur during stage 2 of the sleep cycle, thought to be important for learning and memory.