Identify Which of the Following Statements Is True

question 50

Multiple Choice

Identify which of the following statements is true.

• A)The transferee corporation's acquisition or assumption of liabilities in excess of the total adjusted bases of the properties transferred by a transferor results in a gain recognition by the transferor.
• B)When a transferor exchanges a mortgaged property under Sec. 351 and the amount of the mortgage is greater than the transferor's basis in the property, the transferor's basis in the stock received will be equal to the basis the transferor had in the mortgaged property.
• C)When forming a corporation, the accounts payable of a transferor's business are not liabilities for gain computation purposes if the transferor's business uses the accrual method of accounting.
• D)All of the above are false.

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Definitions:

Late Antique

The non-naturalistic artistic style of the Late Roman Empire.

Christian Art

Art that is religious in nature and often inspired by Christian themes, iconography, and figures from the Bible.

Hieratic Sizing

A principle in art, particularly ancient Egyptian, where the size of figures indicates their relative importance, with larger sizes denoting greater significance.

Mildenhall Treasure

A significant hoard of Roman silver tableware from the 4th century, discovered in Suffolk, England in 1942.