Mary Inherits an Interest in Laser Partnership from Her Aunt

question 53

Multiple Choice

Mary inherits an interest in Laser Partnership from her Aunt Lillian during 2016.The fair market value of the interest as of the primary valuation date is $28,000.Aunt Lillian's adjusted basis was $16,000.What is Mary's initial basis and holding period in the partnership interest if she sells the interest seven months after inheriting it?

• A)$16,000, short-term.
• B)$16,000, long-term.
• C)$28,000, short-term.
• D)$28,000, long-term.
• E)Both depend on whether it is sold at a gain or a loss.

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Intelligence Quotient

A score that takes into account a student’s mental and chronological age.

Mental Age

Mental age refers to a measure of an individual's cognitive ability compared to the average cognitive ability of a person at a specific age.

Chronological Age

The amount of time that has elapsed since an individual's birth, typically measured in years, months, and days.

Mental Age

A measure of an individual's mental aptitude based on the average abilities of a certain age group.