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Tim and Darby Are Equal Partners in the TD Partnership

Question 69

True/False

Tim and Darby are equal partners in the TD Partnership. Partnership income for the year is $60,000. Tim needs cash to pay tax on his share of the partnership income, but Darby wants to leave the cash in the partnership for
expansion. If the partners agree, it is acceptable for TD to distribute $8,000 to Tim but no cash or other property to
Darby.

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