Question
Rob, Bill, and Steve form Big Company. Rob performs $45,000 of services for his shares of the company. Bill transferred property with a basis of
Rob, Bill, and Steve form Big Company. Rob performs $45,000 of services for his shares of the company. Bill transferred property with a basis of $5,000 for $75,000 of stock. Steve contributes cash of $100,000 for his shares. Which of the three must recognize income in the year of the formation?
| a. | Rob |
| b. | Rob, Bill, Steve |
| c. | Bill |
| d. | Steve, Bill |
| e. | Steve, Rob |
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Content Audits And Inventories A Handbook For Content Analysis
Authors: Paula Ladenburg Land
2nd Edition
1937434826, 978-1937434823
