Dan Knight and Patricia Chen, who are good friends, form Crane Corporation. Dan transfers land (worth $200,000, basis of $60,000) for 50% of the stock in Crane. Patricia transfers machinery (worth $150,000, adjusted basis of $30,000) and provides services worth $50,000 for 50% of the stock. a. Will the transfers qualify under 351? has because ' of Patricia's stock is counted in determining control since the property she transferred than a nominal value in comparison to the value of the services rendered. b. What are the tax consequences to Dan and Patricia? Dan recognizes on the transfer of the land. His basis in the Crane stock is $ Patricia recognizes of $ on the transfer. Patricia has a basis of $ in her Crane stock. c. What is Crane Corporation's basis in the land and the machinery? Crane Corporation has a basis of $ in the land and a basis of $ In addition, Crane either has as of $ in the machinery. for the services provided by Patricia, or it will capitalize the d. Enter the results of this transaction to Patricia on her Form 1040 (page 1). Assume Patricia is single, age 40, has no other income, and claims a standard deduction of $12,200 (for 2019)