5 Which of the following items do not retain their character as they flow through to the partnership More than one answer may be correct a Long term capital gains b Short term capital gains c Depreciation recapture income d Dividend income 6 Sal and Nan owned 90 and 10 of the SN Partnership, respectively SN operated a foundry Sal sold stock in ExxonMobil with a basis of $4,000 to the partnership for $6,000 The amount and character of gain recognized to Sal is a $0 b $2,000 ordinary c $2,000 capital gain d $6,000 ordinary 7 Sal and Nan owned 90 and 10 of the SN partnership, respectively SN operated a foundry Sal sold a machine, capital asset to him but to be used in the SN business operations, with a basis of $4,000 to the partnership for $6,000 The amount and character of gain recognized to Sal is a $0 b $2,000 ordinary c $2,000 capital gain d $6,000 ordinary 8 Bob and Lyn were equal unrelated partners in the BL Partnership Bob sold an old truck to the partnership for $3,000 The truck has been used in Bob's sole proprietorship prior to the sale It had a basis of $5,000 to Bob What amount and character of loss should Bob recognize a $0 b $2,000 1231 loss c $2,000 ordinary d $5,000 ordinary 9 Bob and Lyn were unrelated partners in the BL Partnership, Bob owning a 70 percent interest and Lyn all the rest Bob sold an old truck to the partnership for $3,000 The truck has been used in Bob's sole proprietorship prior to the sale It had a basis of $5,000 to Bob What amount and character of loss should Bob recognize a $0 b $2,000 1231 loss c $2,000 ordinary d $5,000 ordinary

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5  Which of the following items do not retain their character as they flow through to the partnership  More than one answer may be correct  a  Long term capital gains  b  Short term capital gains  c  Depreciation recapture income  d  Dividend income  6  Sal and Nan owned 90  and 10  of the SN Partnership, respectively  SN operated a foundry  Sal sold stock in ExxonMobil with a basis of $4,000 to the partnership for $6,000  The amount and character of gain recognized to Sal is  a  $0  b  $2,000 ordinary  c  $2,000 capital gain  d  $6,000 ordinary  7  Sal and Nan owned 90  and 10  of the SN partnership, respectively  SN operated a foundry  Sal sold a machine, capital asset to him but to be used in the SN business operations, with a basis of $4,000 to the partnership for $6,000  The amount and character of gain recognized to Sal is  a  $0  b  $2,000 ordinary  c  $2,000 capital gain  d  $6,000 ordinary  8  Bob and Lyn were equal unrelated partners in the BL Partnership  Bob sold an old truck to the partnership for $3,000  The truck has been used in Bob's sole proprietorship prior to the sale  It had a basis of $5,000 to Bob  What amount and character of loss should Bob recognize  a  $0  b  $2,000 1231 loss  c  $2,000 ordinary  d  $5,000 ordinary  9  Bob and Lyn were unrelated partners in the BL Partnership, Bob owning a 70 percent interest and Lyn all the rest  Bob sold an old truck to the partnership for $3,000  The truck has been used in Bob's sole proprietorship prior to the sale  It had a basis of $5,000 to Bob  What amount and character of loss should Bob recognize  a  $0  b  $2,000 1231 loss  c  $2,000 ordinary  d  $5,000 ordinary

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5. Which of the following items do not retain their character as they flow through to the partnership? More than one answer may be correct.

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