Question
Rob, Bill, and Steve form Big Company. Rob performs $45,000 of services for his 45 shares of the company. Bill transferred property with a basis
Rob, Bill, and Steve form Big Company. Rob performs $45,000 of services for his 45 shares of the company. Bill transferred property with a basis of $5,000 for $75,000 of stock (75 shares). Steve contributes cash of $100,000 for his 100 shares. Which of the three must recognize income in the year of the formation?
a. Rob, Bill
b. Rob- incorrect
c. Bill
d. Steve, Rob
e. Steve, Bill
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Accounting Regulation In Japan Evolution And Development From 2001 To 2015
Authors: Masatsugu Sanada, Yoshihiro Tokuga
1st Edition
0367221071, 9780367221072
