Question
Janice contributes land with an FMV of $100,000 and a basis of $40,000 to the Green Partnership in exchange for a 25% partnership interest. The
Janice contributes land with an FMV of $100,000 and a basis of $40,000 to the Green Partnership in exchange for a 25% partnership interest. The partnership assumes the $80,000 mortgage on the land. Mary has a 25% share of partnership liabilities. The Green Partnership has $8,000 in liabilities immediately before Janice's contribution. What is Janice's basis in her partnership interest?
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Auditing A Practical Approach
Authors: Fiona Campbell, Robyn Moroney, Jane Hamilton, Valerie Warren
2nd Canadian edition
9781118377901, 1118377907, 1119048095, 978-1118849415
