Company Y is liquidating. It has two shareholders, Amanda and Heather. Amanda owns 60 shares (with a $6,000 a/b) and Heather owns 40 shares (with a $3,000 a/b). Company Y will distribute the building to Amanda and the cash and goodwill to Heather.

A/B FMV

Cash 2,000 2,000

Building 6,000 8,000

Goodwill 2,000 1,000

Gain/Loss to Company Y: ________________________________________

Gain/Loss to A: ______________________________________________

Gain/Loss to H: ______________________________________________

Adjusted basis Amanda will have in the building: ______________________