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[The following information applies to the questions displayed below.] Aaron, Deanne, and Keon formed the Blue Bell General Partnership at the beginning of the current

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[The following information applies to the questions displayed below.] Aaron, Deanne, and Keon formed the Blue Bell General Partnership at the beginning of the current year. Aaron and Deanne each contributed $126,000, and Keon transferred an acre of undeveloped land to the partnership. The land had a tax basis of $72,400 and was appraised at $196,000. The land was also encumbered with a $72,400 nonrecourse mortgage for which no one was personally liable. All three partners agreed to split profits and losses equally. At the end of the first year, Blue Bell made a $8,600 principal payment on the mortgage. For the first year of operations, the partnership records disclosed the following information: -1. Using the information generated in answering parts (a) and (b), prepare Blue Bell's page 1 and Schedule K to be included with its Form 1065 for its first year of operations. Note: Visit the IRS website and download Form 1065 and Schedule K. Enter the required values in the appropriate fields. Save your completed Tax Form to your computer a "Browse." Next, click "Save

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