Which of the Following Statements Does Not Describe a Requirement

question 120

Multiple Choice

Which of the following statements does not describe a requirement that must be met in a tax-deferred forward triangular merger?

• A)The 40 percent continuity of interest test must be met with respect to the stock transferred from the acquisition corporation to the target corporation shareholders.
• B)The acquirer must hold substantially all of the target corporation's properties after the merger.
• C)The continuity of business enterprise test must be met with respect to the target corporation.
• D)The target corporation shareholders must receive voting stock in the acquiring corporation.

---

Definitions:

All Torts

Refers to the comprehensive range of wrongful acts or infringements of rights that lead to civil legal liability.

Committed by Employee

Acts or omissions carried out by an employee in the course of their employment.

Dismissal Without Notice

A termination of employment where the employer ends the employment relationship without any prior notice to the employee.

Employee Wrongdoing

Actions by an employee that violate company policies or laws.