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:

Hardy-Weinberg Equilibrium

A principle stating that allele and genotype frequencies in a population will remain constant from generation to generation in the absence of other evolutionary influences.

Alleles

Different versions of the same gene, which can result in variations in the phenotype or physical expression of a genetic trait.

Evolutionary Change

A process through which organisms develop and diversify from earlier forms throughout the history of the earth.

Adaptation

Species’ modification in structure, function, or behavior that makes a species more suitable to its environment.