Which of the Following Statements Regarding Disproportionate Distributions Is False

question 90

Multiple Choice

Which of the following statements regarding disproportionate distributions is False?

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

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Definitions:

Acetaldehyde

A colorless volatile compound with a pungent odor, used in the manufacture of acetic acid, perfumes, and flavors.

Deprotonated

Refers to the removal of a proton (H+) from a molecule, resulting in the formation of a negatively charged ion.

Resonance

A phenomenon in chemistry where a molecule or ion can be represented by two or more equivalent structures, indicating the delocalization of electrons.

Anion

A negatively charged ion, which has more electrons than protons.