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Question 31 2 pts Identify which of the following statements is false. Taxable acquisition transactions can either be a purchase of assets or a purchase of stock. The taxfree reorganization rules are an example of the wherewithal to pay concept. Ataxable acquisition of a target corporation's assets results in the nonrecognition of gain or loss on the disposition of each individual asset, Sales of depreciable assets as part of a taxable acquisition result in depreciation recapture Question 32 2 pts Axle Corporation acquires 100% of Drexel Corporation's stock from Drexel's shareholders for $500,000 cash. Drexel Corporation has assets with a $600,000 adjusted basis and an $800,000 FMV. The assets are subject to $200,000 in liabilities. Drexel Corporation shareholders purchased their stock eight years ago for $300,000. Axle Corporation's basis in the Drexel Corporation stock is $800,000. $600,000 $500,000. $300,000