Which of the Following Scenarios Would Be Most Appropriate for a Section

question 2

Multiple Choice

Which of the following scenarios would be most appropriate for a section 85 rollover?

• A) A taxpayer wishes to transfer property worth $200,000, that originally cost $90,000, to her corporation.
• B) A corporation is selling its equipment to another corporation and does not wish to own shares in the other corporation.
• C) A corporation wishes to convert land owned by the company into a parking lot.
• D) A shareholder of a corporation wishes to transfer his vehicle to his corporation. The vehicle originally cost $20,000 and has a market value of $12,000.

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Definitions:

Research Methods

The strategies, techniques, and tools used by scientists to gather and analyze data in order to draw conclusions and advance knowledge.

Pseudoscience

A set of beliefs or practices mistakenly regarded as being based on scientific method.

Pop Psychology

A genre of psychology that is presented in a simplified, entertaining manner, often lacking in depth and scientific rigor.

Psychology

The scientific study of the human mind and its functions, especially those affecting behavior in a given context.