Instructions: Please answer and explain. U.S. tax.

Acquiring Corporation purchased 20% of Target Corporation's stock on each of the following dates:

January 1, 1996, April 1, 1996, June 1, 1996, October 1, 1996, and December 31, 1996.

a. Has a qualified stock purchase occurred? When must an election be made by Acquiring to have the stock purchase treated as an asset acquisition under Sec. 338?

b. How would your answer to Part a change if the purchase dates were instead January 1, 1996, April 1, 1996, September 2, 1996, January 3, 1997, and April 15, 1997?