Merger transaction
JIM is acquiring all of the assets of Mason Machining, Inc. in a merger transaction. Mason transfers assets having an FMV of $1,775,000 and an adjusted basis of $995,000 and $200,000 in liabilities to JIM in exchange for $750,000 in cash and $800,000 of JIM’s common stock. (See attached Mason Acquisition Data) Explain what type of merger this is. JIM distributes its stock and cash […]