1. The Celluloid Collar Corporation has $210,000 in tax loss carryforwards. The Bowstring Shirt Company, a firm in the 30% tax bracket, would be willing to pay (on a nondiscounted basis) the sum of ______________ for the carryforward alone.
A. $108,000
B. $52,000
C. $63,000
D. $1,200,000
2. Which of the following type of merger decreases competition?
A. Horizontal merger
B. Vertical merger
C. Cash purchase
D. Stock-for-stock exchange