Al, Bob, and Carl form West corporation and transfer the following items to West:

Item Transferred
		Transferors		Shares Received
Transferor	Item	Basis	FMV	by Transferor
Al	Patent	-0-	$25,000	1,000	common
Bob	Cash	$25,000	25,000	250	preferred
Carl	Services	-0-	7,500	300	common

The common stock has voting rights. The preferred stock does not.

Requirements:

a.	Is the exchange nontaxable under Sec. 351? Explain the tax consequences of the exchange to Al, Bob, Carl, and West.
b.	How would your answer to Part a change if Bob instead had received 200 shares of common stock and 200 shares of preferred stock?
c.	How would your answer to Part a change if Carl instead had contributed $800 cash as well as services worth $6,700?

Please show how to get all answers