Dena Owns Interests in Five Businesses and Has Full-Time Employees

question 48

Multiple Choice

Dena owns interests in five businesses and has full-time employees in each business. She participates for 100 hours in Activity A, 120 hours in Activity B, 130 hours in Activity C, 140 hours in Activity D, and 125 hours in Activity E.

• A) All five of Dena's activities are significant participation activities.
• B) Dena is a material participant with respect to all five activities.
• C) Dena is not a material participant in any of the activities.
• D) Dena is a material participant with respect to Activities B, C, D, and E.
• E) None of the above.

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