$16.$ In a type C reorganization the transferor corporation will recognize gain on the transaction if it:

A$.\_\_$ Receives boot and distributes boot

B$.\_\_$ Receives boot and pays off a creditor

C$.\_\_$ Receives boot and does not distribute the boot as part of the exchange liquidation

D$.\_\_$Declares the boot to be a dividend payable to its shareholders

$17.$ In a type C reorganization distribution of a retained asset with a built in gain will cause:

A$.\_\_$Only the transferor corporation to recognize gain

B$.\_\_$ Only the transferor corporation's shareholder to recognize gain

C$.\_\_$ Both the transferor corporation and its shareholders to recognize gain

D$.\_\_$ Neither the transferor corporation nor its shareholders to recognize gain

$18.$ In a type C reorganization distribution of a retained asset with a built in loss will cause

A$.\_\_$ Only the transferor corporation to recognize loss

B$.\_\_$ Only the transferor corporation's shareholder to recognize loss

C$.\_\_$ Both the transferor corporation and its shareholder to recognize loss

D$.\_\_$ The transferor corporation's shareholder to recognize gain

$19.$ In a transaction qualifying as a type C reorganization

A$.\_\_$ The acquiring corporation's assuming debt of the transferor will always constitute "boot" to the transferor

B$.\_\_$ The acquiring corporation's assuming debt of the transeror will never constitute "boot" to the transferor

C$.\_\_$The acquiring corporation's assuming debt of the transferor will sometimes constitute "boot" to the transferor

D$.\_\_$ None of the aboe

$20.$ In a type C reorganization, if the acquiring corporation exchanges property other than stock or debt for the transferor's assets:

A$.\_\_$ The transferee corporation may recognize gain only

B$.\_\_$ The transferee coporation may recognize loss only

C$.\_\_$ The transferee corporation may recognize either gain or loss

D$.\_\_$ The transferee corporation recognizes neither gain or loss

$21.$ In a transaction qualifying as a type C reorganization, the acquiring corporation receives the transferor's property:

A$.\_\_$ At the transferee's carryover basis

B$.\_\_$ At the transferor's carryover basis

C$.\_\_$ At the transferors cost basis plus any gain recognized by the transferee

D$.\_\_$ At the transferor's cost basis plus the transferor's recognized gain

$22.$ If the acquisition fails as a type C reorganization, the acquiring corporation receives the transferor's property:

A$\_\_$At the transferee's carryover basis

B$.\_\_$ At the transferor's carryover basis

C$.\_\_$ At the transferee's cost basis

D$.\_\_$ At the transderor's cost basis

$23.$ In a transaction qualifying as a type B reorganization, the acquiring corporation receives the transferor's stock:

A$.\_\_$ At the transferee's carryover basis

B$.\_\_$At the transferor's carryover basis

C$.\_\_$At the transferee's cost basis plus any gain recognized by the transferee

D$.\_\_$At the transferor's cost basis plus the transferor's recognized gain

$24.$ In a transaction qualifying as a non$-$recognition reorganization, the acquiring corporation will inherit the transferor's:

A$.\_\_$ Earnings and profits

B$.\_\_$ Net operating loss carryover

C$.\_\_$ Capital loss carryover

D$.\_\_$ All the above

$25.$ In a type C reorganization, the transferor corporation shareholder's receipt of "money" as part of the exchange liquidation:

A$.\_\_$ Will cause the exchange to be taxable to the transferor corporation

B$.\_\_$ Will cause the exchange to be taxable to the transferee corporation

C$.\_\_$ Will cause the shareholder to recognize gain

D$.\_\_$ All the above

$26.$ The transferor corporation shareholder's basis in the stock and property received in a type C reorganization:

A$.\_\_$ Is the s$/$h$\text{'}$s carryover basis for the stock and fair market value of the property

B$.\_\_$ Is the s$/$h$\text{'}$s fair market value of the stock and fair market value of the property

C$.\_\_$ Is the s$/$h$\text{'}$s carryover basis for the stock and carryover basis of the property

D$.\_\_$ None of the above

$27.$ If a type A reorganization is kept open to allow for payment if additional voting stock upon the happening of a contingency;

A$.\_\_$ The delay in closing the transaction will affect the tax free character of the transaction

B$.\_\_$ The delay in closing the transaction will not affect the tax free character of the transaction

C$.\_\_$ The entire transaction will be taxable

D$.\_\_$ The additional voting stock will constitute taxable "boot" to the target corporation