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Peg has an adjusted basis of $150,000 for her 40% ownership interest in an entity. During the year, the entity earns a profit of $100,000

Peg has an adjusted basis of $150,000 for her 40% ownership interest in an entity. During the year, the entity earns a profit of $100,000 and liabilities increase by $70,000. Determine Pegs adjusted basis for her ownership interest in these independent situations:

The entity is a partnership

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