Which of the Following Qualify as a Like-Kind Exchange

question 42

Multiple Choice

Which of the following qualify as a like-kind exchange?
-An airplane for a duplex apartment.

• A)qualifies as a like-kind exchange
• B)does not qualify as a like-kind exchange

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Definitions:

Dividends

Payments made by a corporation to its shareholder members, usually derived from the company's profits.

Gross Margin

A financial metric indicating the difference between revenue and the cost of goods sold, divided by revenue, often expressed as a percentage.

Inventory Account

An account in the financial statements that reflects the value of a company's goods that are available for sale or in the process of being produced for sale.

Consolidated Statement

A financial statement that includes all assets, liabilities, equity, income, expenses, and cash flows of a parent company and its subsidiaries.