Kim, a real estate dealer, and others form Eagle Corporation under § 351. Kim contributes inventory (land held for resale) in return for Eagle stock. The holding period for the stock includes the holding period of the inventory.
Answer the following statement true (T) or false (F)
False
Rationale: Tacking on the old holding period is allowed only when the asset transferred is a capital or § 1231 asset.
You might also like to view...
On January 1, 2019, Burton Sales issued $23,000 in bonds for $35,800. These are eight-year bonds with a stated rate of 9% and pay semiannual interest. Burton Sales uses the straight-line method to amortize the bond premium. Immediately after the issue of the bonds, the ledger balances are as follows:
After the first interest payment on June 30, 2019, what is the balance of Premium on Bonds Payable? (Round your intermediate answers to the nearest dollar.)
A) debit of $800
B) debit of $14,400
C) credit of $235
D) credit of $12,000
Wholesalers are generally used for distribution of customized, low-volume products
Indicate whether the statement is true or false
Which of the following is true of an illegal consideration?
A) Contract requires that either both parties suffer legal detriment. B) Contract requires that the promisor receives a legal benefit. C) Contract requires that the promisee suffer a legal detriment. D) Contracts based on illegal consideration are void.
Choose the correct word or words in parentheses. The person (who's, whose) phone this is will probably miss it soon