. The Long Corporation has $500,000 of assets with a basis of $350,000 and liabilities...
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. The Long Corporation has $500,000 of assets with a basis of $350,000 and liabilities of $125,000. ShortCo acquires Longs assets and $100,000 of liabilities by exchanging $400,000 of its voting stock. Long distributes the ShortCo stock and remaining liabilities to its shareholder in exchange for her Long stock with a basis of $275,000 and then it liquidates. What type of restructuring is this? Are there any recognized gains or losses? Explain your answer.
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