On April 18, 2010, Petros buys all the assets of Brigid’sMuffler Shop. Included in the purchase price of $295,000 is a payment of $20,000 to Brigid not to open a competing shop in the state for a period of 5 years. Brigid’s assets at the date of sale are as follows:

The patent is on a special muffler that Brigid developed and patented 5 years ago. Petros would like to know the maximum amount of the deduction he will be allowed on the purchase of Brigid’s assets for 2010.
 

Asset Adjusted Basis Fair Market Value Inventory Equipment Building $ 8,500 3,500 80,000 $ 10,000 30,000 120,000 15,000 10,000 Patent 500 Land 5,000