Brad and Eve decided to join forces to form a partnership in January 2019. Brad contributed cash of $100,000; while Eve contributed land that had a market value of $100,000 that she purchased as an investment in 2012. The partnership used the land in the business. The partnership had no debt.

The following information income statement pertains to the partnership in 2019:

Sales	$2,000,000
Cost of Goods Sold	(1,100,000)
Interest income corporate bonds	40,000
Interest income City bonds	60,000
Gross Income		$1,000,000
Advertising	(300,000)
Depreciation	(100,000)
Rent	(200,000)
Interest expense on loan for working capital	(40,000)
Interest expense on loan for corporate bonds	(6,000)
Interest expense on loan for city bonds	(4,000)
Salaries	(200,000)
Total Expenses		(850,000)
Net income		$150,000

In addition to the information provided above,

1. The partnership sold the land contributed by Eve for $120,000.
2. The partnership had the following stock transactions:
   1. Stock A sold for $10,000; basis of $1,000; held for 9 years.
   2. Stock B sold for $10,000; basis of $15,000; held for 18 months.
   3. Stock C sold for $10,000; basis of $11,000; held for 9 months.

Answer the following questions. Be sure to show and clearly label all of your work.

1. What is reported on the K-1 of Brad? Be specific.

2. What is reported on the K-1 of Eve? Be specific.

3. What is Brad`s basis at the end of the year?

4. What is Eves basis at the end of the year?