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Mitchell, Max, and Romeo form a partnership to operate a grocery store. For each of the following contributions by the partners, indicate (1) the amount
Mitchell, Max, and Romeo form a partnership to operate a grocery store. For each of the following contributions by the partners, indicate (1) the amount of income or gain recognized, if any, by the partner, and (2) the partner's basis in the partnership interest immediately after the contribution including the allocation of stabilities If an amount is zero, enter "o". Do not round your intermediate computations. a. Mitchell contributes property with a basis of $45,000 and subject to a $75,000 liability to the partnership for a one-third partnership interest worth $10,000. The partnership assumes the liability. Income or gain recognized Mitchell's basis in the partnership interest: 6. Max contributes property with a basis of $25,000 and a fair market value of $105,000 to the partnership for a one-third partnership Interest Income or gain recognized Max's basis in the partnership interest after considering the liability assumed by the partnership in part (0) c. Romeo performs service valued at $105,000 for the partnership for a one-third interest in the partnership Income or gain recognized Romeo's basis in the partnership interest after considering the liability assumed by the partnership in part (a)
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