1. Individual D contributes $15,000 cash and investment land (FMV $35,000 and basis $22,000) and Individual E contributes business assets (FMV $50,000 and basis $60,000) to create the new DE Partnership. Which of the following statements is accurate?

a. Both D and E have initial capital balances of $50,000. Ds outside basis in his interest is $37,000 and Es outside basis in his interest is $60,000. b. Both D and E have initial capital balances of $50,000. Ds outside basis in his interest is $22,000 and Es outside basis in his interest is $60,000. c. Both D and E have initial capital balances and outside bases in their interests of $50,000. d. Ds initial capital account balance and outside basis in his interest are $37,000 and Es initial capital account balance and outside basis in his interest are $60,000.