Which of the Following Requirements Do Not Have to Be

question 94

Multiple Choice

Which of the following requirements do not have to be met in a section 351 transaction?

• A)Each transferor of property must receive stock equal to at least 80 percent of the fair market value of the property transferred.
• B)In the aggregate, the transferors of property to the corporation must collectively control the corporation immediately after the transfers.
• C)Only property transferred to a corporation is eligible for deferral.
• D)All transfers of property to a corporation must be made simultaneously to qualify for deferral.

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Definitions:

Innovation

The act of introducing something new, such as an idea, method, or device, intended to enhance efficiency, effectiveness, or pleasure.

Relative Advantage

The degree to which an innovation is perceived as better than the idea it supersedes.

Diffusion

The process through which an innovation is communicated over time among the participants in a social system.

Innovation

The act of inventing, evolving, and applying novel concepts, goods, or techniques to enhance or substitute the current ones.