The outstanding stock of QRS Corporation is owned 1400 shares by Elaine and 600 shares by Frank. The value of the QRS stock is equal to $3,000,000. Elaine's adjusted basis in her QRS stock is equal to $985,000 and Frank's adjusted basis in his QRS stock is equal to $950,000. Martin Corporation acquires all of the stock of QRS from Elaine and Frank in exchange for $3,000,000 of Martin stock. What are the tax consequences of the above to QRS Corporation, Elaine, Frankie and Martin Corporation? How would your answer to part (1), above, change if QRS had outstanding bonds that were held by Elaine and Frank, and Martin Corporation exchanged its own debt instruments for the outstanding QRS debt? The outstanding stock of QRS Corporation is owned 1400 shares by Elaine and 600 shares by Frank. The value of the QRS stock is equal to $3,000,000. Elaine's adjusted basis in her QRS stock is equal to $985,000 and Frank's adjusted basis in his QRS stock is equal to $950,000. Martin Corporation acquires all of the stock of QRS from Elaine in exchange for $2,100,000 of Martin stock and from Frank in exchange for $900,000. What are the tax consequences of the above to QRS Corporation, Elaine, Frankie and Martin Corporation? The outstanding stock of QRS Corporation is owned 1400 shares by Elaine and 600 shares by Frank. The value of the QRS stock is equal to $3,000,000. Elaine's adjusted basis in her QRS stock is equal to $985,000 and Frank's adjusted basis in his QRS stock is equal to \$950,000. Martin Corporation acquires all of Elaine's QRS stock in exchange for $2,100,000 of Martin stock. What are the tax consequences of the above to QRS Corporation, Elaine and Martin Corporation