Identify Which of the Following Statements Is False

question 80

Multiple Choice

Identify which of the following statements is false.

• A)Minority shareholders involved in a Sec. 332 subsidiary liquidation must recognize a gain or loss under the Sec. 331 general liquidation rules.
• B)The parent corporation takes a basis in property received when liquidating a subsidiary corporation in a Sec. 332 liquidation equal to its basis to the subsidiary corporation.
• C)Section 332 is applicable to both the parent corporation and the minority shareholders if they exist.
• D)Property received by a minority shareholder takes a basis equal to its fair market value.

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Definitions:

Technological Impossibility

A situation or condition where a desired technological solution cannot be achieved with current scientific knowledge or resources.

Burying Radioactive Wastes

The disposal method of radioactive materials by placing them in deep geological formations.

Sending Radioactive Wastes

The act of transporting and disposing of waste materials that contain radioactive substances, requiring specialized handling to minimize environmental and health risks.

Converting Radioactive Wastes

The process of treating radioactive waste materials to reduce their volume, radioactivity, or hazard to the environment and public health, often involving encapsulation or immobilization.