Fact Pattern 41-2
Shale Oil Corporation combines its assets and debts with those of Tierra Frakking Company to form Unified Resources, Inc. Shale and Tierra cease to exist.
-Refer to Fact Pattern 41-2. Unified Resources acquires
A) all of Shale's and Tierra's assets.
B) half of Shale's and Tierra's assets.
C) none of Shale's and Tierra's assets unless there is a formal transfer.
D) only assets that Shale and Tierra acquired after a combination was proposed.

Question

Fact Pattern 41-2​
Shale Oil Corporation combines its assets and debts with those of Tierra Frakking Company to form Unified Resources, Inc. Shale and Tierra cease to exist.
-Refer to Fact Pattern 41-2. Unified Resources acquires​
A) ​all of Shale's and Tierra's assets.
B) ​half of Shale's and Tierra's assets.
C) ​none of Shale's and Tierra's assets unless there is a formal transfer.
D) ​only assets that Shale and Tierra acquired after a combination was proposed.

Quizplus · Accepted Answer

When Shale Oil Corporation and Tierra Frakking Company combine their assets and debts to form Unified Resources, the new company acquires all of the assets and debts of both predecessor companies. Therefore, answer choice A is correct.

Fact Pattern 41-2​ Shale Oil Corporation Combines Its Assets and Debts with Those

Fact Pattern 41-2 Shale Oil Corporation Combines Its Assets and Debts with Those