Recent Posts • Latest Topics • Unanswered Questions

Carly owns 25% of Base Corporation's single class of stock and Premier Corporation owns the ...

safezone

wrote...

Go to Answer

Posts: 782

Rep:

7 years ago

Carly owns 25% of Base Corporation's single class of stock and Premier Corporation owns the ...

Carly owns 25% of Base Corporation's single class of stock and Premier Corporation owns the remaining 75%. Carly's basis in the Base stock is $200,000 and Premier Corporation's basis in the Base stock is $600,000. Carly receives property with a $175,000 adjusted basis and a $250,000 FMV and Premier Corporation receives property with a $600,000 adjusted basis and a $750,000 FMV in complete liquidation of Base Corporation. All of Base's cash is used to pay its liabilities. Which of following statements is correct concerning the tax effects of the liquidation?
A) Neither Carly nor Premier Corporation will recognize a gain.
B) Carly will recognize some gain but Premier Corporation will not recognize any gain.
C) Both Carly and Premier will recognize some gain.
D) Carly will not recognize any gain but Premier will recognize some gain.

Textbook

Prentice Hall's Federal Taxation 2014 Corporations, Partnerships, Estates & Trusts

Edition: 27^th

Authors: Anderson, Pope, Rupert

Read 539 times

2 Replies

Report

That's not philosophy, it's geometry

Replies

Answer verified by a subject expert

genflynn

wrote...

Related Topics

David B.

wrote...

3 years ago

Report

New Topic

Quick Reply

Explore

Post your homework questions and get free online help from our incredible volunteers

1164 People Browsing

Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook

Live Chat

AJAX Chat © blueimp.net Integrated with SMF

Related Images

289

Your Opinion

Previous poll results: Should Ph.D.'s be addressed as doctors?

It's sore throat season, why does my mucus have red spots?

The Toxic Skin and Fungi Defense

Strange Ingredients Lurking in Doritos Chips

Courses by Biology Forums

Bonobos, Chimpanzees, and the 98% DNA Link

Ready to ask a question on Biology Forums? Try it out

Join Our Community

Biology Forums - Study Force is a free online homework help service catered towards college and high school students. Get homework help and answers to your toughest questions in biology, chemistry, physics, mathematics, engineering, accounting, business, humanities, and more. Master your assignments quickly with thousands of step-by-step solutions to countless textbook questions asked and answered by our members. If we don't have your question, don't worry. You can ask any homework question and get expert homework help in as little as two hours.

Our extensive online study community is made up of college and high school students, teachers, professors, parents and subject enthusiasts who contribute to our vast collection of study resources: textbook solutions, study guides, practice tests, practice problems, lecture notes, equation sheets and more. With our help, your homework will never be the same!

Join for free today

How is Biology Forums - Study Force different than tutoring?

Home Search Q & A Board Gallery Resource Library Blog Dictionary Chat	Quick Links Start a Topic Latest Topics Unanswered Questions Courses Study Tools Browse by Textbook	Social Facebook YouTube Community Stats Who's Online Trending Staff	Help About Us Take the Tour Study Tips Posting Guidelines Terms and Policies Contact Us
Biology Forums - Study Force © 2010-2024 \| Powered by SMF \| SMF © 2015, Simple Machines \| Sitemap Biology-Forums.com is not affiliated with any publisher. Book covers, title and author names appear for reference only.