Please answer this question!

Chris and Terry are neighbors, and are both vintage car collectors. They are considering a transaction that would be economically benecial to both of them, but concerned about any potential adverse tax consequences due to the nature of their relationship and the transaction. What should Chris and Terry be aware of in this situation? 0 The transaction must be considered arm's length because Chris and Terry are not related O The transaction could be deemed non-arm's length if a court determined that Chris and Terry acted in concert to derive a specific benet 0 The transaction must be considered non-arm's length because Chris and Terry have a common economic interest 0 The transaction could be deemed arm's length if it can be established that Chris and Terry demonstrated behavior that was not truly independent