Liz and John formed the equal LJ Partnership on January $1$ of the current year. Liz contributed $$80,000$ of cash and land with a fair market value of $$90,000$ and an adjusted basis of $$75,000.$ John contributed equipment with a fair market value of $$170,000$ and an adjusted basis of $$20,000.$ John had used the equipment in his sole proprietorship. Please answer the following questions:

$1.$ What $704($b$)$ book basis will Liz and John take in their partnership interests?

$2.$ Do additional considerations arise because of the difference between the basis and fair market values of the properties Liz and John contributed?

John's property has a $$\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_$ precontribution gain, so note that the partnership must allocate the depreciation expense between the partners in accordance with the $704($c$)$ Regulations.