Brooke and John Formed a Partnership

question 103

Multiple Choice

Brooke and John formed a partnership. Brooke received a 40% interest in partnership capital and profits in exchange for contributing land (basis of $30,000 and fair market value of $120,000) . John received a 60% interest in partnership capital and profits in exchange for contributing $180,000 of cash. Three years after the contribution date, the land contributed by Brooke is sold by the partnership to a third party for $150,000. How much taxable gain will Brooke recognize from the sale?

• A) $102,000
• B) $90,000
• C) $48,000
• D) $36,000
• E) $0

Identify various interpersonal communication styles and their effects.

Understand the motivations behind different management views and their implications for workplace dynamics.

Grasp the concept of active listening and its value in conflict resolution and information gathering.

Apply Abraham Maslow's hierarchy of needs to effective communication strategies.

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Definitions:

Transportation Costs

Expenses associated with the movement of goods or individuals from one location to another, including factors like fuel, labor, and maintenance.

Returns to Scale

The rate at which output increases as inputs are increased proportionally in the production process.

Scale of Production

The level at which a production process is operating, ranging from small to large scale based on output volume and capacity.

Economies of Scale

Cost advantages that enterprises obtain due to their scale of operation, with cost per unit of output decreasing with increasing scale.