Ture or False and give your explanation.

$1.$ When a business owner sells the assets of their business, any gain recognized is capital in nature.

$2.$ Purchasers generally prefer stock acquisitions because of the step$-$up in the basis of the business assets.

$3.$ A failed like$-$kind exchange is treated as a sale of asset$($s$)$ for federal income tax purposes.

$4.$ Generally, basis in replacement property in like$-$kind exchange or involuntary conversion is carried over from conversion property.

$5.$ Section $351($transfer of property to a corporation$)$ or $721($transfer of property to a partnership$)$ is generally a tax$-$deferred transaction to the transferor and transferee for federal income tax purposes.

$6.$ Exchange of partnership interests is generally treated as a qualified $1031$ like$-$kind exchange.

$7.$ Qualified Intermediary is an exchanger that sells property to buyer for like$-$kind exchange purposes.

$8.$ Joe buys $10$ shares of JH Inc for $$300$ while the outside basis is $$200.$ JH Inc has operating assets with FMV of $$140$ and basis of $$100.$ Determine Joe's basis in JH Inc and JH Inc's basis in the assets after the acquisition.