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Which of the Following Is Not True of an Equity

Question 134

Multiple Choice

Which of the following is not true of an equity carve-out?


A) Creates cash infusion for the parent
B) Change in equity ownership of the unit involved in the carve-out
C) New shares issued to the public
D) Taxable if proceeds returned to shareholders through a dividend or stock buyback
E) Parent ceases to exist

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