Alice and Joe Are Going to Form a Business Entity

question 89

Multiple Choice

Alice and Joe are going to form a business entity. Alice will contribute cash of $200,000 for a 40% ownership interest and Joe will contribute land worth $300,000 (basis of $180,000) for a 60% ownership interest. Which of the following statements is correct?

• A) If the entity is a C corporation, Alice has $0 recognized gain and a basis for her stock of $200,000, and Joe has a recognized gain of $120,000 and a basis for his stock of $300,000.
• B) If the entity is an S corporation, Alice has $0 recognized gain and a basis for her stock of $200,000, and Joe has $0 recognized gain and a basis for his stock of $180,000.
• C) If the entity is a general partnership, Alice has $0 recognized gain and a basis for her partnership interest of $152,000 ($380,000 × 40%), and Joe has $0 recognized gain and a basis for his partnership interest of
• $228,000 ($380,000 × 60%).
• D) Only a. and c. are correct.
• E) a., b., and c. are correct.

Identify where blood is most oxygenated within the circulatory system.

Recognize how breathing rate is affected by the concentration of gases in the blood.

Identify and describe the respiratory volumes measurable with a spirometer.

Associate respiratory problems with their respective causes or symptoms.

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Definitions:

Public-key Encryption

An encryption method that uses a pair of keys, one for encrypting the message (public key) and one for decrypting it (private key).

VoIP

Voice over Internet Protocol, a technology that allows voice calls to be made over the internet, converting analog voice signals into digital data packets.

Two-party Encryption

An encryption method where only two parties can access and decipher the encrypted information, ensuring privacy and security in communications.

Double Fertilization

A unique process in angiosperms where one sperm cell fertilizes an egg cell forming a zygote, and the other sperm cell fuses with two polar nuclei, forming a triploid cell that develops into the endosperm.