Identify Which of the Following Statements Is True

question 68

Multiple Choice

Identify which of the following statements is true.

• A)The control requirement for Sec. 355 differs from the control requirement under Sec. 351.
• B)Aspect Corporation transfers assets to newly created Expert Corporation in exchange for all of Expert's stock. Shortly after the transfer, Aspect exchanges one-half of the Expert stock that it receives for land. The individuals transferring the land have never been Aspect shareholders. This transaction qualifies as a divisive Type D reorganization and is tax-free to all parties.
• C)Common stock can be exchanged for preferred stock in the same corporation as a Type E reorganization.
• D)All of the above are false.

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Definitions:

Organizational Behavior

The study of how people interact within groups in a work environment, including how organizations can operate more effectively.

Work Life

The balance and interaction between an individual's job and personal life, aiming for harmony between work demands and personal needs.

Performance Of Organizations

The level of achievement and efficiency an organization attains in meeting its objectives and goals.

Performance Of People

An assessment of how well individuals or groups complete tasks or meet objectives, often evaluated in work or competitive settings.