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Trenton Corp. is a manufacturing corporation. The cash generated by the manufacturing business is invested into the real estate development. Trenton Corp. wants to reduce

Trenton Corp. is a manufacturing corporation. The cash generated by the manufacturing business is invested into the real estate development. Trenton Corp. wants to reduce the risk in the real estate business and thinks of incorporating a 100% owned new subsidiary and transfer all real estate business under the new sub. This transaction qualifies as what type of reorganization.

Please justify your answer.

a) a) Type A b) Type B c) Type C d) Type D

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