Which of the Following Would Extinguish the § 1245 Recapture

question 12

Multiple Choice

Which of the following would extinguish the § 1245 recapture potential?

• A) An exchange of depreciable business equipment for like-kind business equipment with gain realized, but not recognized.
• B) A nontaxable incorporation under § 351.
• C) A nontaxable contribution to a partnership under § 721.
• D) A nontaxable reorganization.
• E) None of the above.

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Definitions:

Coffee-Ground Secretions

Vomited material that resembles coffee grounds due to the presence of coagulated blood, often indicating bleeding in the gastrointestinal tract.

Culture Tube

A cylindrical container used in laboratories to grow and maintain microorganisms or cell cultures under controlled conditions.

Commercially Prepared

Referring to products or substances that are manufactured and sold by businesses, often in pre-packaged forms.

Endotracheal Suctioning

A medical procedure used to clear away secretions and mucus from a patient's airway through a tube inserted down the trachea.