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XYZ Inc. has 1,000 shares of stock issued and outstanding, which are owned by the following shareholders: Number of Shares Shareholder 200 Alice 100 Alice's

  1. XYZ Inc. has 1,000 shares of stock issued and outstanding, which are owned by the following shareholders:

Number of Shares

Shareholder

200

Alice

100

Alice's spouse

200

Alice's brother

200

Alice's grandmother

100

Partnership B (Alice is a 60% partner)

100

Partnership C (Alices spouse is a 20% partner)

100

Corporation E (Alice is an 40% shareholder)

1,000

Instructions:

Under the IRC Sec. 318 constructive ownership rules, how many shares of XYZ Inc.

stock is Alice considered to own (directly and constructively)?

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