Please answer the # 21-27 multiple choice questions:

21. In a transaction qualifying as a type C reorganization, the acquiring corporation receives the transferors property:

1. At the transferees carryover basis.

2. At the transferors carryover basis.

3. At the transferees cost basis plus any gain recognized by the transferee.

4. At the transferors cost basis plus the transferors recognized gain.

22. If the acquisition fails as a type C reorganization, the acquiring corporation receives the transferors property:

1. At the transferees carryover basis.

2. At the transferors carryover basis.

3. At the transferees cost basis

4. At the transferors cost basis.

23. In a transaction qualifying as a type B reorganization, the acquiring corporation receives the transferors stock:

1. At the transferees carryover basis.

2. At the transferors carryover basis.

3. At the transferees cost basis plus any again recognized by the transferee.

4. At the transferors cost basis plus the transferors recognized gain.

24. In a transaction qualifying as a non-recognition reorganization, the acquiring corporation will inherit the transferors:

1. Earnings and profits.

2. Net operating loss carryover.

3. Capital loss carryover.

4. All of the above.

25. In a type C reorganization, the transferor corporation shareholders receipt of money as part of the exchange liquidation:

1. Will cause the exchange to be taxable to the transferor corporation

2. Will cause the exchange to be taxable to the transferee corporation.

3. Will cause the shareholder to recognize gain.

4. All of the above.

26. The transferor corporation shareholders basis in the stock and property received in a type C reorganization:

1. Is the shareholders carryover basis for the stock and fair market value of the property.

2. Is the shareholders fair market value of the stock and fair market value of the property.

3. Is the shareholders carryover basis for the stock and carryover basis of the property.

4. None of the above.

27. If a type A reorganization is kept open to allow for payment of additional voting stock upon the happening of a contingency:

1. The delay in closing the transaction will affect the tax free character of the transaction.

2. The delay in closing the transaction will not affect the tax free character of the transaction.

3. The entire transaction will be taxable.

4. The additional voting stock will constitute taxable boot to the target Corporation.

Textbook: Federal Income Taxation of Corporations and Shareholders, 7th Edition

Course: Taxation of Reorganizations & Liquidations

21. In a transaction qualifying as a type C reorganization, the acquiring corporation receives the transferor's property: A. _ At the transferee's carryover basis. y At the transferor's carryover basis. At the transferee's cost basis plus any gain recognized by the transferee. D. _ At the transferor's cost basis plus the transferor's recognized gain. 22. If the acquisition fails as a type C reorganization, the acquiring corporation receives the transferor's property: A. At the transferee's carryover basis. B.. At the transferor's carryover basis. At the transferee's cost basis. D._At the transferur's cost basis. 23. In a transaction qualifying as a type B reorganization, the acquiring corporation receives the transferor's stock: A._ At the transferee's carryover basis. At the transferor's carryover basis. At the transferee's cost basis plus any gain recognized by the transferee. - At the transferor's cost basis plus the transferor's recognized gain. 24. In a transaction qualifying as a non-recognition reorganization, the acquiring corporation will inherit the transferor's: A. __ Earnings and Profits. Net operating loss carryover. C. _ Capital loss carryover. All of the above. 25. In a type C reorganization, the transferor corporation shareholder's receipt of money" as part of the exchange liquidation: .. . A. __ Will cause the exchange to be taxable to the transferor corporation... B. __ Will cause the exchange to be taxable to the transferee.corporation. c. __ Will cause the shareholder to recognize gain. D. All of the above. 26. The Transferor corporation shareholder's basis in the stock and property received in a type C reorganization: A.__ Is the s/h's carryover basis for the stock.and fair market value of the property. B. _ Is the s/h's fair market value of the stock and fair market value of the property. c.__ Is the s/h's carryover basis for the stock and carryover basis of the property. D. None of the above. 27. If a type A reorganization is kept open to allow for paymient of additional voting stock upon the happening of a contingency: A. __ The delay in closing the transaction will affect the tax free character of the transaction. B. ___ The delay in closing the transaction will not affect the tax free character of the transaction. c. The entire transaction will be taxable. D. _ The additional voting stock will constitute taxable boot to the target corporation. 21. In a transaction qualifying as a type C reorganization, the acquiring corporation receives the transferor's property: A. _ At the transferee's carryover basis. y At the transferor's carryover basis. At the transferee's cost basis plus any gain recognized by the transferee. D. _ At the transferor's cost basis plus the transferor's recognized gain. 22. If the acquisition fails as a type C reorganization, the acquiring corporation receives the transferor's property: A. At the transferee's carryover basis. B.. At the transferor's carryover basis. At the transferee's cost basis. D._At the transferur's cost basis. 23. In a transaction qualifying as a type B reorganization, the acquiring corporation receives the transferor's stock: A._ At the transferee's carryover basis. At the transferor's carryover basis. At the transferee's cost basis plus any gain recognized by the transferee. - At the transferor's cost basis plus the transferor's recognized gain. 24. In a transaction qualifying as a non-recognition reorganization, the acquiring corporation will inherit the transferor's: A. __ Earnings and Profits. Net operating loss carryover. C. _ Capital loss carryover. All of the above. 25. In a type C reorganization, the transferor corporation shareholder's receipt of money" as part of the exchange liquidation: .. . A. __ Will cause the exchange to be taxable to the transferor corporation... B. __ Will cause the exchange to be taxable to the transferee.corporation. c. __ Will cause the shareholder to recognize gain. D. All of the above. 26. The Transferor corporation shareholder's basis in the stock and property received in a type C reorganization: A.__ Is the s/h's carryover basis for the stock.and fair market value of the property. B. _ Is the s/h's fair market value of the stock and fair market value of the property. c.__ Is the s/h's carryover basis for the stock and carryover basis of the property. D. None of the above. 27. If a type A reorganization is kept open to allow for paymient of additional voting stock upon the happening of a contingency: A. __ The delay in closing the transaction will affect the tax free character of the transaction. B. ___ The delay in closing the transaction will not affect the tax free character of the transaction. c. The entire transaction will be taxable. D. _ The additional voting stock will constitute taxable boot to the target corporation