QUESTION 17 Norman Corporation, an S Corporation, distributes Land to Betty, it only shareholder Norman Corporatior's Adjusted basis for the land $100.000 and the Fair Market Value of the Land is $225,000. Norman Corporation has Recognized Gain of S-o and the shareholder's basis for the land is $100,000 False True QUESTION 18 Joubert contributed cash of $25,000 and Land with an Adjusted Basis of $55,000 and a Fair Market Value of $175,000 to an entity for a seventy-five percent (75) ownership interest in the entity. There is no debt on the Land. The entity was created three (3) years ago. If the entity is a Partnership. Joubert has no Recognized Gain and an initial basis in her Partnership Interest of $80,000 False True 2.pl QUESTION 16 Savannah and Johnson forma business entity with Savannah contributing Cash of $70.000 and johnson contributing and which has an adjusted Basis of $60,000 and a Fair Market Value of $70,000. At the end of the first year of operations, the business entity has earned a profit of $30.000 and has outstanding liabilities of $40,000. if the entity is ans Corporation, Johnson's basis in her stock at the end of the first year is $85.000 False True QUESTION 17 Norman Corporation, an S Corporation, distributes Land to Betty, its only shareholder, Norman Corporation's Adjusted Basis for the land is $100.000 and the Fair Market Value of the Land is $225,000. Norman Corporation has Recognized Gain of 5-0 and the shareholder's basis for the Land is 5100,000 False True