Sue and Andrew Form SA General Partnership

question 50

Multiple Choice

Sue and Andrew form SA general partnership. Each person receives an equal interest in the newly created partnership. Sue contributes $10,000 of cash and land with a FMV of $55,000. Her basis in the land is $20,000. Andrew contributes equipment with a FMV of $12,000 and a building with a FMV of $33,000. His basis in the equipment is $8,000, and his basis in the building is $20,000. How much gain must the SA general partnership recognize on the transfer of these assets from Sue and Andrew?

• A) $0.
• B) $4,000.
• C) $48,000.
• D) $52,000.

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Definitions:

Aortic Stenosis

A condition characterized by the narrowing of the aortic valve opening, restricting blood flow from the left ventricle to the aorta.

Aortic Valve

A valve in the human heart between the left ventricle and the aorta that prevents blood from flowing back into the ventricle.

Vagal Stimulation

The activation of the vagus nerve, which can reduce heart rate, stimulate digestive activities, and influence various metabolic pathways and immune responses.

Stroke Volume

The quantity of blood expelled by the heart's left ventricle in a single beat.