Item Morris owns 55%, David owns 40% and Michael owns 5% of the profits and losses of the RC partnership, a calendar partnership. Their respective partnership interests are $110,000, $80,000, and $10,000. They incur and pay the following costs during 2020, its first taxable year. Amount Date paid Legal fees for drafting the partnership agreement $16,000 3/19/20 Accounting fees to set up books $19,000 4/22/20 RC partnership begins business on June 1, 2020. They will be taking the maximum total deduction for the above costs. During 2020, RC reports ordinary income of $275,000 (before the expenses above) and the following separately stated items: qualified dividend income of $2,300; taxable interest income of $12,000; Charitable contributions of $6,000; and Sec. 179 expense of $20,000. During the year, the partnership liabilities increased by $25,000 (assume liabilities are allocated based on Profit and Loss sharing ratios. On 12/31/20, what is the basis in each partner's interest in RC? Now assume RC agreement provides for the guaranteed payments for services rendered of $80,000 in cash for Morris and $50,000 in cash for David, respectively nothing else changes). The services rendered are of a nature that the amount is deductible by RC in computing its ordinary income. After the guaranteed payments are deducted, the partnership agreement calls for a sharing of profits and losses with Morris 55%, David 50%, and Michael 10%. On 12/31/20, what is the basis in cach partner's interest in RC? 2 173 MacBook Air