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.Bill
b.Steve, Bill
c.Rob
d.Rob, Bill
e.Steve, Rob
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Nmap Network Exploration And Security Auditing Cookbook
Authors: Paulino Calderon
2nd Revised Edition
1786467453, 978-1786467454
