Case one MEMO format. In an exchange transaction, Jesse transferred land worth $50,000 to his 80%-controlled corporation in exchange for additional stock of the corporation worth $20,000 and cash of $20,000. The basis of the property to him was $15,000 and was subject to a $10,000 mortgage, which the corporation assumed. Jesse must report a gain of how much? Jesse has come to you for advice so provide him with professional memo on the isssue, based on the IRC, treasury regulations, ruling and court cases if applicable. DO NOT USE IRS PUBLICATION OR OTHER UNRELIABLE SOURCES. Use proper tax language and IRAC form - issues,. rules, analysis conclusion. Due date is June 2nd 2013. You can work in groups of no more than 3 students