During the current year, Goldfinch Corporation purchased 100% of the stock of Dove Corporation and made a qualified election under 338. Which of the following statements is incorrect with respect to the 338 election?

Dove is treated as a new corporation as of the day following the qualified stock purchase date.

Dove must be liquidated pursuant to the 338 election.

Dove Corporation is treated as having sold its assets on the qualified stock purchase date.

Dove can recognize gain or loss as a result of the 338 election.

None of the above.