1. In return for a 20% partnershop interest, Mary contributes a machine having a fair market value of $60,000 and a $30,000 basis to the XY partnership. The partnership assumes mary's $15,000 liability arising from her purchase of the marchine and Mary has a 20% share of partnership liabilites. The XY partnership has $4,000 in liabilites immediately preceding her contribution. Calculate Mary's Partnership interest. Does Mary or the Partnership recognize any gain or loss?

2. Assume the same facts as above, except that the amount of the liability assumed by the XY partnership from Mary is $50,000.

Any help would be appreciated! Thank you.