Question
An individual contributes property with a basis of $10000, and fair market value of $20000 to a corporation in return for 50% of the corporation's
An individual contributes property with a basis of $10000, and fair market value of $20000 to a corporation in return for 50% of the corporation's stock. The individual is the only transferor in the transaction. The individual's stock basis after the transfer is:
A. 30000
B. 10000
C. 20000
D. 40000
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Strategic Market Management
Authors: David A. Aaker
4th Edition
0471309567, 9780471309567
