Which of the Following Statements About Nontaxable Exchanges Is True

question 77

Multiple Choice

Which of the following statements about nontaxable exchanges is true?

• A) The parties to the exchange agree that the properties exchanged are of equal value.
• B) The parties to the exchange both realize gain on the exchange.
• C) No cash can change hands in a nontaxable exchange.
• D) Any gain realized on the exchange is not included in financial statement income.

---

Definitions:

Therapeutic Sessions

Structured meetings between a therapist and a client aimed at addressing and resolving psychological issues, promoting mental health and well-being.

Postvention

Activities and support provided after a critical event, such as suicide, to prevent further crises and help the affected cope with the aftermath.

Unplanned Termination

The unexpected end of a service or relationship in a professional context, such as quitting a job abruptly or ending a therapeutic intervention prematurely.

Client-Initiated

Pertains to actions or interventions that are started or requested by the client in a therapeutic or service-oriented context.