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Fran plans to form a corporation and contribute assets that currently have a FMV that is less than her basis in the assets. Please explain
Fran plans to form a corporation and contribute assets that currently have a FMV that is less than her basis in the assets. Please explain to Fran what happens when built in loss assets are contributed into a corporation? (Make sure you address gain/loss recognized to Fran, Fran's stock basis, and the Corporation's basis in the assets received).
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