Which of the Following Is One of the Conditions Necessary

question 6

Multiple Choice

Which of the following is one of the conditions necessary for an amalgamation to result in a tax-free combination?

• A) At least one of the corporations must be Canadian.
• B) At least 50 percent of the assets and liabilities of the old corporation must become assets and liabilities of the new corporation.
• C) The two corporations must be in a similar line of business.
• D) All of the shareholders of the old corporations must become shareholders of the new corporations.

---

Definitions:

Standard Error

A statistical measure that describes the accuracy with which a sample mean estimates the population mean.

Regression Line

A line of best fit that describes the linear relationship between an independent variable and a dependent variable.

Least-Squares Regression

A statistical method that determines the best-fitting line for a set of data by minimizing the sum of the squares of the vertical distances of the points from the line.

Slope

The measure of the steepness or incline of a line, indicating the rate at which values increase or decrease.