While Partnerships and Joint Ventures Have Some Similarities,they Have Significant

question 4

Multiple Choice

While partnerships and joint ventures have some similarities,they have significant differences.Which of the following is FALSE with regard to partnerships and joint ventures?

• A)Joint ventures and partnerships are not separate taxable entities.
• B)All partners in a partnership are subject to the same CCA decision in a given tax year, while members of a joint venture may each decide their own amount of CCA to be deducted.
• C)CCPC partners in a partnership and CCPC members in a joint venture are both restricted to their profit-sharing ratio of the $500,000 small business deduction limit.
• D)Joint ventures are more limited in their use than partnerships, although they have more flexibility with regard to their tax decisions.

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Definitions:

Red Bone Marrow

A type of bone marrow that produces red blood cells, white blood cells, and platelets.

Blood Forming Cells

Cells found primarily in the bone marrow that give rise to all the blood cells including red blood cells, white blood cells, and platelets.

Upper Limbs

Refers to the part of the body that includes the arm, forearm, wrist, and hand.

Metatarsals

The long bones in the foot located between the ankle (tarsal bones) and the toes (phalanges), crucial for walking and balance.