The consolidated regulations inhibit the acquisition of a corporation that contains assets with a fair market value less than basis.

Question

Quizplus · Accepted Answer

The consolidated regulations do not allow the acquisition of a corporation that contains assets with a fair market value less than basis. This is because the consolidated regulations require that the acquiring corporation recognize a gain or loss on the difference between the fair market value and the basis of the acquired assets.

The Consolidated Regulations Inhibit the Acquisition of a Corporation That