Acquiring Corporation Is 100%- Owned by Peter Hart

Acquiring Corporation is 100%- owned by Peter Hart. Target Corporation is 100% owned by Dick Weber. The two individuals are not related. Target Corporation has $400,000 of NOL carryovers at the time Acquiring Corporation is considering making a cash acquisition of part or all of Target Corporation's stock. What is the maximum amount of Target stock that can be acquired in a single transaction without the Sec. 382 loss limitation rules applying to the NOLs?

A) 50%
B) 49%
C) 80%
D) Any acquisition of Target stock will cause the Sec. 382 loss limitation to apply.