Sam Sherwood Wishes to Purchase Kitchen Cabinets, Inc

Sam Sherwood wishes to purchase Kitchen Cabinets, Inc. (KCI) Which of the following is TRUE if Sam purchases the assets of the corporation rather than the shares from the company's sole shareholder?

A) Sam will have to acquire all of the assets of KCI.
B) Payment of the purchase price will flow directly to Steve Oaks.
C) Kitchen Cabinets Inc. may be subject to business income and capital gains.
D) Sam will have no choice but to assume the liabilities of KCI.