Crater Corporation Is Owned 70% by Lin Yuan and 30

question 65

Multiple Choice

Crater Corporation is owned 70% by Lin Yuan and 30% by Yu Chi.Due to news articles damaging Crater's reputation,Lin and Yu decide to liquidate Crater,which has been in existence for eight years.They create Lunar and Solar corporations to receive all of the manufacturing assets of Crater.Lunar receives the night light manufacturing assets and Solar receives the heat lamp business.All of the Lunar stock and 40% of the Solar stock is given to Lin in exchange for her Crater stock.Yu receives the remaining 60% of Solar in exchange for his Crater stock.Crater then liquidates.Assuming all other requirements are met,these transactions qualify as:

• A)A taxable transaction.
• B)A "Type A" consolidation.
• C)A "Type D" split-off reorganization.
• D)A "Type D" split-up reorganization.
• E)None of the above.

---

Definitions:

Population-Focused

An approach or intervention aimed at addressing the health or social needs of a specific group or population rather than individuals.

Ecological Perspective

a viewpoint in social science that emphasizes the complex interrelations between individuals and their environment.

Mental Health Problems

A range of psychological, emotional, and behavioral issues that affect an individual’s ability to function.

Multiple Levels

A term referring to the consideration or analysis of phenomena across various layers or dimensions, such as biological, social, or psychological.