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Zhang incorporated her sole proprietorship by transferring inventory, a building, and land to the corporation in return for 100 percent of the corporation's stock. The property transferred to the corporation had the following fair market values and adjusted tax bases: Inventory Building Land Total FMV $ 20,000 150,000 230,000 $ 400,000 Adjusted Tax Basis The corporation also assumed a mortgage of $100,000 attached to the building and land. The fair market value of the corporation's stock received in the exchange was $300,000. Note: Negative amount should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable. Adjusted basis Problem 19-40 Part g (Static) g. Suppose the corporation assumed a mortgage of $500,000 attached to the building and land. The fair market value of building is $250,000 and the fair market value of the land is $530,000. The fair market value of the stock remains $300,0 Inventory $ 10,000 100,000 300,000 $ 410,000 What is the corporation's adjusted tax basis in each of the assets received in the exchange? Note: Do not round intermediate calculations. Building Land

Zhang incorporated her sole proprietorship by transferring inventory, a building, and land to the corporation in return for 100 percent of the corporation's stock. The property transferred to the corporation had the following fair market values and adjusted tax bases: Inventory Building Land Total FMV $ 20,000 150,000 230,000 $ 400,000 Adjusted Tax Basis The corporation also assumed a mortgage of $100,000 attached to the building and land. The fair market value of the corporation's stock received in the exchange was $300,000. Note: Negative amount should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable. Adjusted basis Problem 19-40 Part g (Static) g. Suppose the corporation assumed a mortgage of $500,000 attached to the building and land. The fair market value of building is $250,000 and the fair market value of the land is $530,000. The fair market value of the stock remains $300,0 Inventory $ 10,000 100,000 300,000 $ 410,000 What is the corporation's adjusted tax basis in each of the assets received in the exchange? Note: Do not round intermediate calculations. Building Land

SWFT Comprehensive Vol 2020
SWFT Comprehensive Vol 2020
43rd Edition
ISBN:9780357391723
Author:Maloney
Publisher:Maloney
Chapter20: Corporations: Distributions In Complete Liquidation And An Overview Of Reorganizations
Section: Chapter Questions
Problem 28P
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Zhang incorporated her sole proprietorship by transferring inventory, a building, and land to the corporation in return for 100 percent of the corporation's stock. The property transferred to the corporation had the following fair market values and adjusted tax bases: Inventory Building Land Total FMV $ 20,000 150,000 230,000 $ 400,000 Adjusted Tax Basis The corporation also assumed a mortgage of $100,000 attached to the building and land. The fair market value of the corporation's stock received in the exchange was $300,000. Note: Negative amount should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable. Adjusted basis Problem 19-40 Part g (Static) g. Suppose the corporation assumed a mortgage of $500,000 attached to the building and land. The fair market value of t building is $250,000 and the fair market value of the land is $530,000. The fair market value of the stock remains $300,00 Inventory $ 10,000 100,000 300,000 $ 410,000 What is the corporation's adjusted tax basis in each of the assets received in the exchange? Note: Do not round intermediate calculations. Building Land
Transcribed Image Text:Zhang incorporated her sole proprietorship by transferring inventory, a building, and land to the corporation in return for 100 percent of the corporation's stock. The property transferred to the corporation had the following fair market values and adjusted tax bases: Inventory Building Land Total FMV $ 20,000 150,000 230,000 $ 400,000 Adjusted Tax Basis The corporation also assumed a mortgage of $100,000 attached to the building and land. The fair market value of the corporation's stock received in the exchange was $300,000. Note: Negative amount should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable. Adjusted basis Problem 19-40 Part g (Static) g. Suppose the corporation assumed a mortgage of $500,000 attached to the building and land. The fair market value of t building is $250,000 and the fair market value of the land is $530,000. The fair market value of the stock remains $300,00 Inventory $ 10,000 100,000 300,000 $ 410,000 What is the corporation's adjusted tax basis in each of the assets received in the exchange? Note: Do not round intermediate calculations. Building Land
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