Cost of acquisition rules require transferred assets sold as stock-in-trade to carry transferor's cost plus improvements and transfer expenses. Section 43C fixes the cost of acquisition for assets transferred by amalgamation, partition, gift, will, or irrevocable trust and later sold as stock-in-trade. For amalgamations, the amalgamated company's cost is the amalgamating company's cost plus improvement costs and transfer-related expenditure borne by the amalgamating company. For partition, gift, will, or trust transfers, the transferee's cost is the transferor's or donor's cost plus improvements and expenditure wholly and exclusively incurred in effecting the transfer, including gift-tax paid by the transferor or donor.