Identify Which of the Following Statements Is False

question 20

Multiple Choice

Identify which of the following statements is false.

• A)A Sec. 338 election usually triggers taxation to the target corporation.
• B)A Sec. 338 election must be made not later than the fifteenth day of the ninth month following the first stock acquisition in a series of acquisitions that leads to 80% or more stock ownership.
• C)When a Sec. 338 election is made, the target corporation is treated as having sold all of its assets at their FMV at the close of the acquisition date.
• D)In a Sec. 338 deemed sale election, the shareholders of the target corporation sell their stock to the acquiring corporation.

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Definitions:

Fill Orders

Completing customer requests for products by preparing, packaging, and shipping the requested items, ensuring orders are fulfilled accurately and promptly.

Manufacturing Cycle Efficiency

A measure of the effectiveness of a manufacturing process, calculated by dividing the value-added production time by the total cycle time.

Fill Orders

The process of completing customer requests for goods or services in accordance with purchase agreements or specifications.

Throughput Time

Throughput Time, also known as cycle time, is the total time taken from the beginning to the end of a production process, including processing, inspection, and transportation times.