Final answer:
The notion that the cost recovery basis for property converted from personal to business use is the fair market value is false; colonists objected to the manner of taxation rather than taxation itself, which is true; and the idea that proprietors in a proprietary colony had no responsibilities except collecting profits is false. So, the given statement is b. False
Step-by-step explanation:
The cost recovery basis for property converted from personal use to business use is false.
Instead, the cost recovery basis is generally the lower of the adjusted basis at the time of conversion or the fair market value of the property at the time of the conversion.
Exercise 7.3.1
The statement is true.
The colonists had objections more to the manner in which the taxes were imposed, without their representation, rather than the concept of taxation itself.
Exercise 5.2.2
The statement is false.
Throughout various periods of history, proprietors of a proprietary colony had multiple re
Therefore, the given statement is b. False