57. Alex and Jessica form AJ Inc. Alex contributes farm equipment that has a fair market value of $100,000 in exchange for 100 shares of AJ worth $100,000. The equipment has an adjusted basis of $105,000. Alex had purchased the equipment three years ago for $150,000 and has been depreciating it using the Alternative Depreciation System over 10 years on a straight-line basis. Jessica transfers inventory worth $20,000 for 20 shares of AJ stock worth $20,000. Jessica's basis in the inventory was $22,000. What are the tax consequences to Alex and Jessica? What basis will AJ have in the property received