Q- 1: Jeff and Ed decide to take the plunge and form The Tax Museum Corporation. Jeff contributes land with a tax basis of $100,000 and a fair market value of $150,000 in exchange for 50% of the stock. Ed contributes $150,000 in cash for 50% of the stock. How much taxable gain will Jeff recognize at the time of the transaction? a. $0 b. $50,000 c. $25,000 d. $100,000 e. None of the above Q-2: Continuing with the prior question, what basis will The Tax Museum Corporation take in the land? Recall that Jeff contributes land with a tax basis of $100,000 and a fair market value of $150,000 in exchange for 50% of the stock. Ed contributes $150,000 in cash for 50% of the stock. a. $100,000 b. $150,000 c. $0 d. $50,000 e. None of the above Q-3: Continuing with the previous problem, what basis does Jeff take in the Tax Museum Corporation stock that he receives? Recall that Jeff contributes land with a tax basis of $100,000 and a fair market value of $150,000 in exchange for 50% of the stock. Ed contributes $150,000 in cash for 50% of the stock. a. $100,000 b. $150,000 c. $0 d. $50,000 e. None of the above