If a Partner Contributes Services on the Formation of a Partnership,how

question 58

Multiple Choice

If a partner contributes services on the formation of a partnership,how much income does the service partner recognize,if any?

• A)$0.
• B)$0,unless the partner receives a cash distribution.
• C)An amount equal to the FMV of the services rendered.
• D)$0 if the partner's basis was $0 when the services were performed.

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Definitions:

Conditions of Employment

The terms, policies, and requirements that define the working relationship between an employer and employee.

National Labor Relations Board

A federal agency in the United States responsible for enforcing US labor law in relation to collective bargaining and unfair labor practices.

Jurisdiction

The power of a court to hear cases and resolve disputes.

Secondary Boycotts

Secondary boycotts are actions where a group refuses to work for or do business with a company as a means of protest or to force some change, often in labor disputes.