XYZ Inc. liquidated. Pursuant to the plan of liquidation, ABC Inc., which owned 80% of the stock of XYZ, received as a distribution in exchange for all of its stock in the corporation, 80% of the inventory and other assets of the corporation worth $700,000 that had a basis to the corporation of $900,000. All of the other shareholders received pro rata distributions of these assets and none of these assets had been contributed to the corporation by any shareholder. How much loss was recognized by XYZ, Inc. as a result of this liquidating distribution to XYZ, and what was the character of the gain

An investment counselor calls with a hot stock tip. he believes that if the economy remains strong, the investment will result in a profit of $40 comma 00040,000. if the economy grows at a moderate pace, the investment will result in a profit of $10 comma 00010,000. however, if the economy goes into recession, the investment will result in a loss of $40 comma 00040,000. you contact an economist who believes there is a 2020% probability the economy will remain strong, a 7070% probability the economy will grow at a moderate pace, and a 1010% probability the economy will slip into recession. what is the expected profit from this investment?

Which of the following statements about brand names is true? brand names give the seller an incentive to provide consistently high-quality products and services in order to protect the reputation of the brand. brand names are always economically wasteful since they dupe consumers into buying more expensive goods and services that are no different from generic versions. it is always rational to prefer brand names over generic substitutes. read the following example and determine whether it illustrates a common critique or defense of advertising. musashi sees a commercial for a brand x clothing company that depicts the wearers of the clothes out having a good time with friends. although he doesn't particularly need new clothes, the commercial prompts him to buy a brand x t-shirt.

Which change is illustrated by the shift taking place on this graph? a decrease in supply an increase in supply o an increase in demand o a decrease in demand