Which of the Following Statements Regarding Involuntary Conversions Is Incorrect

Which of the following statements regarding involuntary conversions is incorrect?

A) The taxpayer- use test applies to the involuntary conversion of rental property owned by an investor.
B) With some exceptions, the replacement property must be similar or related in service or use to the property converted.
C) The functional- use test is more restrictive than the like- kind test.
D) Real property used in a trade or business that is condemned must be replaced with property which has the same functional use as the converted property.