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Burke transfers cash in the amount of $40,000 and retail display fixtures (basis of $8,000 and fair market value of $20,000) in exchange for a
Burke transfers cash in the amount of $40,000 and retail display fixtures (basis of $8,000 and fair market value of $20,000) in exchange for a 60% profit and loss interest in Honey Bees Basement, LLC a childrens clothing store. Her 60% interest is valued at $60,000. Will Burke recognize a gain or loss on this transaction? If so, how much?
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