Which of the Following Statements Is TRUE Regarding the Disposal

question 7

Multiple Choice

Which of the following statements is TRUE regarding the disposal of shares by a shareholder?

• A) The sale of shares to other shareholders is known as a 'buy-back'.
• B) The sale of shares to the corporate treasury is not allowed in the Income Tax Act.
• C) The sale of shares to the corporate treasury may result in a deemed dividend and a capital gain or loss to the shareholder.
• D) When a shareholder sells shares to other shareholders, the corporation's capital base increases.

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Definitions:

Young Adulthood

A life stage typically ranging from the late teens through the twenties, characterized by exploration of personal and professional identities and the establishment of adult relationships.

Family Roles

The functions or positions that individuals occupy within a family unit, often based on societal norms or cultural expectations.

Marijuana-Related Problems

Issues or complications arising from the use of marijuana, including health, legal, or social problems.

Marijuana Use

The consumption or utilization of cannabis, a psychoactive drug derived from the Cannabis plant, for recreational or medicinal purposes.