AB Corporation and YZ Corporation formed a partnership to construct a shopping mall. AB contributed $$594,000$ cash, and $YZ$ contributed land $($ $$594,000$ FMV and $$524,000$ basis$)$ in exchange for a $50$ percent interest in ABYZ Partnership. Immediately after its formation, ABYZ borrowed $$297,000$ from a local bank. The debt is recourse $($unsecured by any specific partnership asset$).$

Required:

a$.$ Compute each partner's initial basis in its partnership interest, assuming that both $AB$ and $YZ$ are general partners.

b$.$ Compute each partner's initial basis in its partnership interest, assuming that $AB$ is a general partner, and $YZ$ is a limited partner.

Complete this question by entering your answers in the tabs below.

Required A

Required $B$

Compute each partner's initial basis in its partnership interest, assuming that both $AB$ and $YZ$ are general partners.

$\backslash$table$[[,$Amount$],[$AB$\text{'}$s initial basis,$],[$YZ$\text{'}$s initial basis,$]]$