43 Which one of the following exchanges will not qualify as a tax free reorganization in an E recapitalization?

a Stock for stock

b Bonds for stock

c. Stock for bonds

d. Bonds for bonds

44 Which one of the following situations could not qualify as an E reorganization~

a. Exchange of a shareholders common stock for nonvoting, nonparticipating preferred stock in the same

corporation.

b. Exchange of all of W corporations stock for stock of Q, a wholly owned subsidiary of W.

c. XYZ agrees to exchange one share of participating cumulative preferred stock for each share of common stock currently outstanding.

d. All of the above.

46. As part of a C reorganization, T Corporation transfers assets with a basis of $200,000 and a fair market value of $500,000. T receives stock of A Corporation worth $400,000 and $100,000 worth of other property

with a basis to A of $75,000. What is the basis of the property transferred to A?

a. $400,000

b. $75,000

c. $200,000

d. $100,000

47. In a statutory merger, P Corporation transfers assets worth $250,000 (basis $200,000) in exchange for M Corporations stock worth $250,000. What is M Corporations basis in the assets?

a. $250,000

b. $200,000

c. $50,000

d. None of the above

51. X, as part of a reorganization, exchanges a security with a princi~I am~nt of S2.000 and a fair market value of $2,100, for a security with a principal amount of $2300 and a fan market value of $2,800. The amount of boot X received is -

a. $0

b. $100

C. $500

d. $560

e. $700

;

53. Which of the following statements is true?

a. In an A reorganization, the surviving corporation can use all of the acquired corporations NOL without

limitation.

b. In a C reorganization, the target corporations E&P disappears.

c. In a B reorganization, the acquiring corporation inherits the target corporations tax attributes.

d. All of the above statements are false.