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Adam contributes land with a basis of $120,000 and a fair market value of $250,000 to corporation in exchange for 100% of the corporation stock.
Adam contributes land with a basis of $120,000 and a fair market value of $250,000 to corporation in exchange for 100% of the corporation stock. The land is subject to a $50,000 mortgage. In addition, Adam receives $30,000 cash from the corporation in addition to the stock. What is the corporations basis in the land? $120,000 $150,000 $100,000 $170,000
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