Identify Which of the Following Statements Is True

question 6

Multiple Choice

Identify which of the following statements is true.

• A) If the stock redemption proceeds are used to pay either the estate's funeral and administrative expenses or death taxes, the redemption can qualify for capital gains treatment under Sec. 303.
• B) Only stock included in the decedent's gross estate can be redeemed under the Sec. 303 provisions.
• C) Usually, a stock redemption qualifying under Sec. 303 as a redemption to pay death taxes will result in little or no gain to the redeeming shareholder.
• D) All of the above are true.

---

Definitions:

Axon

a part of a neuron that conducts impulses away from the cell body towards other neurons or muscles.

Electrical Charge

A fundamental property of matter that exists in either a positive or negative state and causes it to experience a force when placed in an electromagnetic field.

All-Or-None Law

A principle that states that the strength of a response of a nerve cell or muscle fiber is not dependent on the strength of the stimulus; if a stimulus is above a certain threshold, a nerve or muscle fiber will fire.

Action Potentials

Action potentials are rapid rises and falls in the electric potential across a nerve cell's membrane, allowing for the transmission of neural signals.