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PV Inc. transferred the operating assets of one of its business divisions into newly incorporated SV Inc. in exchange for 100 percent of SVs stock.

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PV Inc. transferred the operating assets of one of its business divisions into newly incorporated SV Inc. in exchange for 100 percent of SVs stock. PV's adjusted basis in the operating assets was $5 million, and their FMV was $13 million. b. Compute PV's realized gain, recognized gain, and basis in its SV stock. (Enter your answers in millions) Answer is complete but not entirely correct. Realized gain S 0 million Recognized gain $ 8 million 5million Basis

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