On June 1 of the current year, Patti contributes equipment with a $46,400 basis and a $37,000 FMV in exchange for a partnership interest. She purchased the equipment six years ago.

1. What is Patti's basis in her partnership interest?
2. What is Patti's holding period of her partnership interest?
3. What is the basis of the equipment in the hands of the partnership?
4. What is the holding period of the equipment in the hands of the partnership?
5. How will the partnership depreciate the equipment in the year of contribution?