Font Paragraph Styles II. ENTITY FORMATIONS IL Company was organized on January 1 with the following contributions from its two owners: Property Contributed Owner Basis FMV % ownership Other information received Clark $100,000 $400,000 40% Bruce 125,000 750,000 60% IL Co. assumes a $150,000 recourse mortgage A. Assume JL is organized as a corporation. Determine the following tax consequences: (Show your computations if you wish to receive partial credit.) Owner Gain (Loss) Recognized OSS) Recognized Basis in ownership Clark Bruce What is IL Company's basis in the properties contributed by Clark & Bruce? Clark's asset: Bruce's asset: Font Paragraph Styles II. ENTITY FORMATIONS IL Company was organized on January 1 with the following contributions from its two owners: Property Contributed Owner Basis FMV % ownership Other information received Clark $100,000 $400,000 40% Bruce 125,000 750,000 60% IL Co. assumes a $150,000 recourse mortgage A. Assume JL is organized as a corporation. Determine the following tax consequences: (Show your computations if you wish to receive partial credit.) Owner Gain (Loss) Recognized OSS) Recognized Basis in ownership Clark Bruce What is IL Company's basis in the properties contributed by Clark & Bruce? Clark's asset: Bruce's asset