Ball Corporation Owns 80% of Net Corporation's Stock and Jack $$\begin{array} { | l | l | } \hline \text { Ball } & \text { Jack } \\\hline \$ 0 & \$ 0 \\\hline\end{array}$$

question 31

Multiple Choice

Ball Corporation owns 80% of Net Corporation's stock and Jack owns the remaining 20% of Net Corporation's stock.Ball's basis in the Net stock is $200,000 and Jack's basis in the Net stock is $100,000.Under a plan of complete liquidation,Ball Corporation receives property with an adjusted basis of $400,000 and an FMV of $800,000 and Jack receives property with an adjusted basis of $50,000 and an FMV of $200,000.Ball and Jack's recognized gains on the liquidation are:

• A) \[\begin{array} { | l | l | }
• \hline \text { Ball } & \text { Jack } \\
• \hline \$ 0 & \$ 0 \\
• \hline
• \end{array}\]
• B) \[\begin{array} { | l | l | }
• \hline \text { Ball } & \text { Jack } \\
• \hline \$ 0 & \$ 100,000 \\
• \hline
• \end{array}\]
• C) \[\begin{array} { | l | l | }
• \hline \text { Ball } & \text { Jack } \\
• \hline \$ 200,000 & \$ 50,000 \\
• \hline
• \end{array}\]
• D) \[\begin{array} { | l | l | }
• \hline \text { Ball } & \text { Jack } \\
• \hline \$ 600,000 & \$ 100,000 \\
• \hline
• \end{array}\]

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Definitions:

Therapeutic Neutrality

A clinical stance adopted by therapists to remain nonjudgmental and unbiased towards the client's feelings, thoughts, and behaviors.

Psychodynamic Practice

A therapeutic approach that explores the influence of the unconscious on behavior, drawing on concepts from psychoanalytic theory.

Two-Person Psychology

A psychological perspective focusing on the relational dynamics between the therapist and client, emphasizing the mutual influence and intersubjective processes.

One-Person Psychology

A traditional psychoanalytic focus on the internal psychological processes of the individual, without explicit consideration of the interacting partner or environment.