Identify Which of the Following Statements Is True

question 81

Multiple Choice

Identify which of the following statements is true.

• A)The target corporation in a tax-free reorganization generally recognizes no gain or loss when boot property is received in exchange for assets because such property is usually distributed to its shareholders and creditors when the target corporation is liquidated.
• B)In tax-free reorganizations, one transaction cannot qualify for more than one type of tax-free reorganization.
• C)The Sec. 1245 recapture rules override the nonrecognition of gain or loss rules for an asset-for-stock tax-free reorganization.
• D)All of the above are false.

---

Definitions:

Memory Storage

The process of retaining information over time, which includes encoding, storing, and retrieving data.

Brain Structure

The physical organization and arrangement of different parts of the brain, including its cells and connections.

Sensory Relay Station

Refers to the thalamus, a structure in the brain that processes and relays sensory information to the appropriate areas of the brain.

Thalamus

A structure in the brain that acts as a relay station for sensory and motor signals to the cerebral cortex.