Fact Pattern 30-1Shale Oil Processing Corporation combines its assets and debts with those of Tierra Frakking Company to form United Resources, Inc. Shale and Tierra cease to exist.
-Refer to Fact Pattern 30-1.The formation of United Resources is

Question

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A consolidation occurs when two or more companies combine to form a new entity, and the original companies cease to exist, as is the case with Shale Oil Processing Corporation and Tierra Frakking Company forming United Resources, Inc.

Fact Pattern 30-1Shale Oil Processing Corporation Combines Its Assets and Debts