What is bell corporations recognized gain or loss

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Problem

Paul Corporation is merging with Bell Corporation in a tax free reorganization (under Section 368). Bell transfers property (basis of $100,000 fair market value of $700,000 and a business liability of $150,000) to Paul in exchange for voting shares in Paul Corporation. Bell transfers the Paul shares to its shareholders in exchange for their Bell stock. Bell then liquates. As a result of these transfers:

1. What is the FMV of the stock?

2. What is Bell Corporation's realized gain or loss?

3. What is Bell Corporation's recognized gain or loss?

4. What is Paul Corporation's realized gain or loss?

5. What is Paul Corporation's recognized gain or loss?

6. What is Bell shareholder's realized gain or loss?

7. What is Bell shareholder's recognized gain or loss?

8. Do you need any additional information?

Reference no: EM131796980

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