Identify Which of the Following Statements Is False

question 79

Multiple Choice

Identify which of the following statements is false.

• A)Jean and Blossom form an equal partnership. Jean contributes $10,000 cash and Blossom contributes property with a $10,000 FMV and a $5,000 basis. When the partnership sells the property contributed by Blossom for $10,000 shortly after the formation, Blossom must include the $5,000 gain in her income.
• B)In order to shift income/loss between partners, there must be substantial economic effect.
• C)The BB Partnership wants to make a special allocation of $10,000 of long-term capital gain to Bob and a special allocation of $10,000 of ordinary income to Briana. This allocation will have a substantial economic effect.
• D)Partners must make up negative balances in their capital accounts upon liquidation of the partnership.

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Definitions:

Inhibitory Neurotransmitters

Neurotransmitters that decrease the probability of the neuron firing action potentials, thereby reducing neural activity.

Excitatory Neurotransmitters

Chemical messengers in the nervous system that increase the likelihood that a neuron will fire an action potential.

Melatonin

A hormone produced by the pineal gland in the brain, responsible for regulating sleep and wake cycles.

Parkinson's Disease

A progressive neurological disorder marked by tremors, muscle rigidity, and slow, imprecise movement, mainly affecting older people.