Ned, a College Professor, Owns a Separate Business (Not Real

question 63

Multiple Choice

Ned, a college professor, owns a separate business (not real estate) in which he participates in the current year.He has one employee who works part-time in the business.

• A)If Ned participates for 120 hours and the employee participates for 120 hours during the year, Ned does not qualify as a material participant.
• B)If Ned participates for 95 hours and the employee participates for 5 hours during the year, Ned probably does not qualify as material participant.
• C)If Ned participates for 500 hours and the employee participates for 520 hours during the year, Ned qualifies as material participant.
• D)If Ned participates for 600 hours and the employee participates for 2,000 hours during the year, Ned qualifies as a material participant.
• E)None of these applies.

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Definitions:

Project Management

The application of processes, methods, skills, knowledge, and experience to achieve specific project objectives according to the project acceptance criteria within agreed parameters.

Communication Tool

Any device, platform, or application that facilitates the exchange of information between individuals or groups.

Knee Replacement

A surgical procedure to replace a knee joint that is damaged by arthritis or injury with an artificial joint made of metal and plastic components.

Walking Difficulty

Impairment or discomfort experienced while walking, which may result from injuries, disabilities, or medical conditions.