Hazel, Emily, and Frank, Unrelated Individuals, Own All of the Stock

question 132

Multiple Choice

Hazel, Emily, and Frank, unrelated individuals, own all of the stock in Wren Corporation (E & P of $1.2 million) as follows: Hazel, 1,500 shares; Emily, 300 shares; and Frank, 200 shares. Wren redeems 900 of Hazel's shares (basis of $210,000) for $625,000. With respect to the distribution in redemption of the stock:

• A) Hazel has a capital gain of $415,000.
• B) Hazel has a capital gain of $625,000.
• C) Hazel has dividend income of $415,000.
• D) Hazel has dividend income of $625,000.
• E) None of these.

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Definitions:

Male Sexual Scripts

Socially learned narratives that define the sexual behaviors, attitudes, and expectations considered appropriate for men.

Cognitive Social Learning Theory

A theory that emphasizes the role of observational learning, social experience, and cognitive processes in the development of behavior.

Behavioral Psychology

A field of psychology that focuses on studying and modifying observable behaviors through conditioning and reinforcement.

Gender Identity

A person's internal sense of their own gender, whether male, female, a blend of both, or neither, and how they perceive themselves and what they call themselves.