Tom is talking to his friend Bob, who has an interest in Freedom, LLC, about purchasing his LLC interest. Bob's outside basis in Freedom, LLC is $12,500. This includes his $3,000 one-fourth share of the LLC's debt. Bob's 704(b) capital account is $19,500. If Tom bought Bob's LLC interest for $22,000, what would Tom's outside basis be in Freedom, LLC?

Multiple Choice

$12,500.

$19,000.

$22,000.

$25,000.