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Pursuant to a qualifying reorganization, 75 shares stock of Target were exchanged for 25 shares of Acquirer. The Target stock had a tax basis of

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Pursuant to a qualifying reorganization, 75 shares stock of Target were exchanged for 25 shares of Acquirer. The Target stock had a tax basis of $35,000 and a fair market value of $41,200. How much taxable gain is recognized as a result of the exchange? $35,000 $41,200 $6,200 $0

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