Which one of the following statements is not a step in an "A" reorganization by statutory merger?

Question

Quizplus · Accepted Answer

In an "A" reorganization by statutory merger, the target corporation directly transfers its assets and liabilities to the acquiring corporation in exchange for the acquiring corporation's stock, and then the target dissolves. The shareholders of the target corporation directly receive stock in the acquiring corporation, making choice B incorrect because it describes a two-step process where the target corporation first exchanges its assets for stock and then distributes this stock to its shareholders, which is not a direct step in an "A" reorganization.

Which One of the Following Statements Is Not a Step