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In 2015, Olson Corporation purchased the assets of Swenson Corporation for $1,000,000. The fair market value of the assets was as follows: Furniture Office Building
In 2015, Olson Corporation purchased the assets of Swenson Corporation for $1,000,000. The fair market value of the assets was as follows: | ||
Furniture Office Building Land | $ 100,000 $ 600,000 $ 200,000 | |
Under the circumstances, which of the following is a true statement? | ||
a, Olson will have a basis in the furniture of $111,111. | ||
b, Olson will have a basis in the office building of $666,667. | ||
C, Olson will have a basis in the land of $222,222. | ||
d, Olson will have a basis in goodwill of $100,000. | ||
a, b, and c above are all true. |
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