Geneva Corporation, a privately-held company, has one class of voting common stock, of which 1,000 shares are issued and outstanding. The shares are owned as follows: $$\begin{array} { l r }
\text { Madison Cheeseman } & 350 \
\text { Brewer Partnership } & 250 \
\text { Brett Cheeseman (Madison's granddaughter) } & 100 \
\text { Packer Corporation } & \underline { 300 } \
\text { Total } & { 1,000 }
\end{array}$$ Madison has a 20 percent interest in the partnership. The remaining 80 percent is owned by unrelated individuals. Madison owns 40% of Packer Corporation. The other 60 percent is owned by her father.
How many shares of stock is Madison deemed to own under the family attribution rules in a stock redemption?

Question

Geneva Corporation, a privately-held company, has one class of voting common stock, of which 1,000 shares are issued and outstanding. The shares are owned as follows: $$\begin{array} { l r } 
\text { Madison Cheeseman } & 350 \
\text { Brewer Partnership } & 250 \
\text { Brett Cheeseman (Madison's granddaughter) } & 100 \
\text { Packer Corporation } & \underline { 300 }  \
\text { Total } & { 1,000 }
\end{array}$$ Madison has a 20 percent interest in the partnership. The remaining 80 percent is owned by unrelated individuals. Madison owns 40% of Packer Corporation. The other 60 percent is owned by her father.
How many shares of stock is Madison deemed to own under the family attribution rules in a stock redemption?

Quizplus · Accepted Answer

The Answer of Geneva Corporation, a privately-held company, has one class of voting common stock, of which 1,000 shares are issued and outstanding. The shares are owned as follows: $$\begin{array} { l r } 
\text { Madison Cheeseman } & 350 \
\text { Brewer Partnership } & 250 \
\text { Brett Cheeseman (Madison's granddaughter) } & 100 \
\text { Packer Corporation } & \underline { 300 }  \
\text { Total } & { 1,000 }
\end{array}$$ Madison has a 20 percent interest in the partnership. The remaining 80 percent is owned by unrelated individuals. Madison owns 40% of Packer Corporation. The other 60 percent is owned by her father.
How many shares of stock is Madison deemed to own under the family attribution rules in a stock redemption?

Geneva Corporation, a Privately-Held Company, Has One Class of Voting