Tristan Transfers Property with a Tax Basis of $900 and a Fair

question 57

Multiple Choice

Tristan transfers property with a tax basis of $900 and a fair market value of $1,200 to a corporation in exchange for stock with a fair market value of $900 and $200 in a transaction that qualifies for deferral under section 351. The corporation assumed a liability of $100 on the property transferred. What is the corporation's tax basis in the property received in the exchange?

• A) $1,200
• B) $1,100
• C) $1,000
• D) $900

Understand the fundamental processes of transcription and translation in eukaryotic cells.

Comprehend the nature and function of enzymes in metabolic diseases.

Identify the role of various types of RNA in the process of gene expression.

Explain the significance of specific experiments in establishing the principles of molecular genetics.

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Definitions:

Greenmail

A situation where a company buys back its own shares from a potential acquirer at a price higher than the market value to avoid a takeover.

Poison Pill

A poison pill is a defense strategy used by a corporation to deter or prevent hostile takeovers.

Takeover Attempt

An effort by one company or entity to gain control of another company by acquiring a significant portion of its shares or assets.

Defensive Merger Tactics

Strategies employed by a company to avoid being taken over by another company, often including legal and financial maneuvers.