Alpha Corporation owns assets valued at $$400,000$ and liabilities of $$100,000.$ Beta Corporation transfers $$160,000$ of its voting stock and $$40,000$ in cash for $75\%$ of Alpha's assets and all of its liabilities. Alpha distributes its remaining assets and the Beta stock to its shareholders. Alpha then liquidates.

b$.$ Beta Corporation owns assets valued at $$1,500,000$ with liabilities of $$700,000,$ and Alpha holds assets valued at $$350,000$ with liabilities of $$150,000.$ Beta transfers $200,000$ shares of stock and $$50,000$ cash, and it accepts $$100,000$ of Alpha's liabilities, in exchange for all of the Alpha assets. Alpha distributes the Beta stock to its shareholders for their Alpha stock and then ceases to exist.

c$.$ Alpha Corporation obtained $200,000$ shares of Beta Corporation's stock $10$ years ago. In the current year, Alpha exchanges $40\%$ of its stock for $500,000$ of the remaining $600,000$ shares of Beta stock. After the transaction, Alpha owns $700,000$ of the $800,000$ Beta shares outstanding.

d$.$ Alpha Corporation's two divisions have existed for seven years. The nail division has assets valued at $$500,000$ and liabilities of $$120,000,$ whereas the hammer division has assets valued at $$645,000$ and liabilities of $$25,000.$ Alpha would like the two divisions to be separate corporations. It creates Beta Corporation and transfers all of the hammer division assets and liabilities in exchange for $100\%$ of Beta's stock. Alpha then distributes the Beta stock to its shareholders.

e$.$ Alpha Corporation owns assets valued at $$750,000$ with liabilities of $$230,000,$ and Beta holds assets valued at $$1,500,000$ with liabilities of $$500,000.$ Beta transfers $33\%$ of its stock for $$700,000$ of Alpha's assets and $$200,000$ of its liabilities. Alpha distributes the Beta stock and its remaining assets and liabilities to its shareholders in exchange for their stock in Alpha. Alpha then terminates.

f$.$ Beta Corporation has not been able to pay its creditors in the last year. To avoid foreclosure, Beta transfers its assets valued at $$650,000$ and liabilities of $$700,000$ to a new corporation, Alpha, Inc., in accordance with a state court proceeding. The creditors receive shares of Alpha voting stock valued at $$300,000$ and cancel the outstanding debt. The former Beta shareholders receive the remaining shares in Alpha.