5. LO.2, 3 Yvonne and Simon form Ion Corporation. Yvonne transfers equipment

(basis of $110,000 and fair market value of $165,000). Simon invests

$130,000 of cash. They each receive 100 shares in Ion Corporation, worth $130,000, but Yvonne also receives $35,000 of cash from Ion. Calculate Ion Corporation’s basis in the equipment. In addition, determine Yvonne and Simon’s basis in the Ion stock.