Bizrate Electronics was organized on February 22, 2018, by Jon Jones and Billy Burt. Jon contributed $270,000 cash and SBUX stock (acquired 01/01/2017) worth $30,000 for 60% of Bizrate stock, while Billy contributed $200,000 cash for 40% of the stock.

$2,500 is allocable to the investments in stock. The remainder is related to Bizrates business.

Sold 500 shares of SBUX stock for $35,000 on December 1, 2018. The stock had been purchased by Jon on July 1, 2004 for $20,000 and was contributed by him on February 22, 2018, when it was worth $30,000. Also, on December 1, 2018 sold 100 shares of Grand View, Inc. for $2,000. The stock had been purchased on March 1, 2018 for $3,000. At no time did Bizrate own more than 1% of the outstanding stock of these corporations.

Sold a delivery truck on September 23, 2018 for $35,000. The Truck had originally been purchased on May 1, 2018 for $33,400. Depreciation taken for book purposes was $7,000. Depreciation taken for tax purposes was $9,350

Question: Provide calculations for Jon and Billy's basis in Bizrate's stock and Bizrate basis in the new assets it holds on Sch. D

complete form 4797 for both Jon and Billy basis and for the sale of the truck

SCHEDULED (Form 1120) Department of the Treasury Internal Revenue Service Name Capital Gains and Losses OMB No. 1545-0123 Attach to Form 1120, 1120-C, 1120-F, 1120-FSC, 1120-H, 1120-IC-DISC, 1120-L, 1120-ND, 1120-PC, 1120-POL, 1120-REIT, 1120-RIC, 1120-SF, or certain Forms 990-T. 2018 Go to www.irs.gov/Form1120 for instructions and the latest information Employer identification number le) Cost (or other basis) (g) Adjustments to gain in Gain or loss) ar loss from Forms Subtract column (e) from 8949, Part 1, line 2 column (d) and combine column the result with column (9) Partl Short-Term Capital Gains and Losses (See instructions.) See instructions for how to figure the amounts to enter on (d) the lines below. Proceeds This form may be easier to complete it you round off cents to (sales price) whole dollars 1a Totals for all short-term transactions reported on Form 1099-B for which basis was reported to the IRS and for which you have no adjustments (see instructions). However, if you choose to report all these transactions on Form 8949, leave this line blank and go to line 1b . 1b Totals for all transactions reported on Form(s) 8949 with Box A checked 2 Totals for all transactions reported on Form(s) 8949 with Box B checked 3 Totals for all transactions reported on Form(s) 8949 with Box C checked 4 Short-term capital gain from installment sales from Form 6252, line 26 or 37. 4 5 Short-term capital gain or (loss) from like-kind exchanges from Form 8824 5 6 Unused capital loss carryover (attach computation) 6 7 Net short-term capital gain or loss). Combine lines 1a through 6 in column h 7 le) Cost (or other basic (g) Adjustments to gain in Gain or floss) ar loss from Form Subtract column (e) from 8949, Part II, line 2 column(d, and combine column the result with colurnal Part II Long-Term Capital Gains and Losses (See instructions.) See instructions for how to figure the amounts to enter on (d) the lines below. Proceeds This form may be easier to complete if you round off cents to (sales price whole dollars 8a Totals for all long-term transactions reported on Form 1099-B for which basis was reported to the IRS and for which you have no adjustments (see instructions). However, if you choose to report all these transactions on Form 8949, leave this line blank and go to line 8b. 8b Totals for all transactions reported on Form(s) 8949 with Box D checked. 9 Totals for all transactions reported on Form(s) 8949 with Box E checked 10 Totals for all transactions reported on Form(s) 8949 with Box F checked 11 Enter gain from Form 4797, line 7 or 9. 11 12 Long-term capital gain from installment sales from Form 6252, line 26 or 37 12 13 14 15 13 Long-term capital gain or loss) from like-kind exchanges from Form 8824 14 Capital gain distributions (see instructions) 15 Net long-term capital gain or loss). Combine lines Ba through 14 in column h Part III Summary of Parts I and II 16 Enter excess of net short-term capital gain (line 7) over net long-term capital loss (line 15) 17 Net capital gain. Enter excess of net long-term capital gain line 15) over net short-term capital loss (line 7) 18 Add lines 16 and 17. Enter here and on Form 1120, page 1, line 8, or the proper line on other returns Note: If losses exceed gains, see Capital losses in the instructions. For Paperwork Reduction Act Notice, see the Instructions for Form 1120. Cat. No. 11460M 16 17 18 Schedule D Form 1120) 2018 SCHEDULED (Form 1120) Department of the Treasury Internal Revenue Service Name Capital Gains and Losses OMB No. 1545-0123 Attach to Form 1120, 1120-C, 1120-F, 1120-FSC, 1120-H, 1120-IC-DISC, 1120-L, 1120-ND, 1120-PC, 1120-POL, 1120-REIT, 1120-RIC, 1120-SF, or certain Forms 990-T. 2018 Go to www.irs.gov/Form1120 for instructions and the latest information Employer identification number le) Cost (or other basis) (g) Adjustments to gain in Gain or loss) ar loss from Forms Subtract column (e) from 8949, Part 1, line 2 column (d) and combine column the result with column (9) Partl Short-Term Capital Gains and Losses (See instructions.) See instructions for how to figure the amounts to enter on (d) the lines below. Proceeds This form may be easier to complete it you round off cents to (sales price) whole dollars 1a Totals for all short-term transactions reported on Form 1099-B for which basis was reported to the IRS and for which you have no adjustments (see instructions). However, if you choose to report all these transactions on Form 8949, leave this line blank and go to line 1b . 1b Totals for all transactions reported on Form(s) 8949 with Box A checked 2 Totals for all transactions reported on Form(s) 8949 with Box B checked 3 Totals for all transactions reported on Form(s) 8949 with Box C checked 4 Short-term capital gain from installment sales from Form 6252, line 26 or 37. 4 5 Short-term capital gain or (loss) from like-kind exchanges from Form 8824 5 6 Unused capital loss carryover (attach computation) 6 7 Net short-term capital gain or loss). Combine lines 1a through 6 in column h 7 le) Cost (or other basic (g) Adjustments to gain in Gain or floss) ar loss from Form Subtract column (e) from 8949, Part II, line 2 column(d, and combine column the result with colurnal Part II Long-Term Capital Gains and Losses (See instructions.) See instructions for how to figure the amounts to enter on (d) the lines below. Proceeds This form may be easier to complete if you round off cents to (sales price whole dollars 8a Totals for all long-term transactions reported on Form 1099-B for which basis was reported to the IRS and for which you have no adjustments (see instructions). However, if you choose to report all these transactions on Form 8949, leave this line blank and go to line 8b. 8b Totals for all transactions reported on Form(s) 8949 with Box D checked. 9 Totals for all transactions reported on Form(s) 8949 with Box E checked 10 Totals for all transactions reported on Form(s) 8949 with Box F checked 11 Enter gain from Form 4797, line 7 or 9. 11 12 Long-term capital gain from installment sales from Form 6252, line 26 or 37 12 13 14 15 13 Long-term capital gain or loss) from like-kind exchanges from Form 8824 14 Capital gain distributions (see instructions) 15 Net long-term capital gain or loss). Combine lines Ba through 14 in column h Part III Summary of Parts I and II 16 Enter excess of net short-term capital gain (line 7) over net long-term capital loss (line 15) 17 Net capital gain. Enter excess of net long-term capital gain line 15) over net short-term capital loss (line 7) 18 Add lines 16 and 17. Enter here and on Form 1120, page 1, line 8, or the proper line on other returns Note: If losses exceed gains, see Capital losses in the instructions. For Paperwork Reduction Act Notice, see the Instructions for Form 1120. Cat. No. 11460M 16 17 18 Schedule D Form 1120) 2018