Harriet, Herm, and Ronde formed an S corporation called Innovet. Harriet and Herm both contributed cash of $34,900 to get things started. Ronde was a bit short on cash but had a parcel of land valued at $86,200 (basis of $69,800 ) that he decided to contribute The land was encumbered by a $51,300 mortgage. What tax bases will each of the three have in his or her stock of Innovet