Which of the Following Statements Does Not Describe a Requirement

question 120

Multiple Choice

Which of the following statements does not describe a requirement that must be met in a tax-deferred forward triangular merger?

• A)The 40 percent continuity of interest test must be met with respect to the stock transferred from the acquisition corporation to the target corporation shareholders.
• B)The acquirer must hold substantially all of the target corporation's properties after the merger.
• C)The continuity of business enterprise test must be met with respect to the target corporation.
• D)The target corporation shareholders must receive voting stock in the acquiring corporation.

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Definitions:

Stimulus-response Model

A behavioral theory suggesting that an individual's actions (responses) are direct reactions to external stimuli.

Sales Presentation

A pitch or demonstration given by a salesperson to a prospective buyer with the aim of selling a product or service.

Preconscious

A term in psychology, referring to the part of the mind containing thoughts and feelings not currently in consciousness but can be recalled to consciousness.

Post-conscious

A state or condition related to processes or experiences that occur after the primary conscious awareness.