Identify Which of the Following Statements Is True

question 41

Multiple Choice

Identify which of the following statements is true.

• A)A Type B reorganization must be accomplished in one transaction.
• B)"Creeping acquisitions" are not allowed in a Type B reorganization.
• C)Boxer Corporation acquires 81% of Excel Corporation's stock in a Type B reorganization. When Boxer Corporation acquires an additional 11% of Excel Corporation's stock two years later in exchange for Boxer stock, the second acquisition is also treated as a Type B reorganization.
• D)All of the above are false.

---

Definitions:

Ohmmeter

An instrument for measuring electrical resistance, which is a fundamental property that quantifies how strongly a material opposes the flow of electric current.

Ammeter

An instrument used to measure the current in a circuit, usually in amperes.

Voltmeter

An instrument used for measuring electric potential difference between two points in an electric circuit.

Low-impedance

Refers to a circuit or device having a relatively low resistance to the flow of electrical current.