Jasmine transferred 100 percent of her stock in woodward company to jefferson corporation in a type a merger. in exchange, she received stock in jefferson with a fair market value of $600,000 plus $400,000 in cash. jasmine's tax basis in the woodward stock was $1,500,000. what amount of loss does jasmine recognize in the exchange and what is her basis in the jefferson stock she receives?

Casey communications recently issued new common stock and used the proceeds to pay off some of its short-term notes payable. this action had no effect on the company's total assets or operating income. which of the following effects would occur as a result of this action? a. the company's current ratio increased.b. the company's times interest earned ratio decreased.c. the company's basic earning power ratio increased.d. the company's equity multiplier increased.e. the company's debt ratio increased.