Question: Enter problem statement appropriate input type, and other instructions here. ABC Corporation (ABC owns 90% of the single class of stock in Subsidiary Corporation. The

 Enter problem statement appropriate input type, and other instructions here. ABC

Enter problem statement appropriate input type, and other instructions here. ABC Corporation (ABC owns 90% of the single class of stock in Subsidiary Corporation. The other 10% is owned by Rose, an individual, ABCs basis in is Subsidiary stock is $ 200,000 and Rosie's basis is $90.000 Subsidiary distributos property A having an added bas of 5150,000 and an FMV of 5720,000 to ABC, and property owma FMV of $80,000 and an adjusted basis of $60,000 to Rosie in a liquidating distribution Subsidiary had $10 million of eanings and profits at the date of liquidation What gain or los must ABC and Rosin recognize on the liquidating dambusone? OA ABC recognizes no gain or loss and Rosie recognize a 510.000 capital OB. AC recognise dividend income of 5720,000 and Rose recognius dividend come of 500,000 OG ADC recognizes 620,000 plan and Rose recognizes 310,000 capitaloss OD Nethe ABC or one recognitary gain or

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