Question: S Horton contributes assets with a book value of 5 000
S. Horton contributes assets with a book value of $5,000 to a partnership. The assets have a market value of $10,000 and a remaining liability of $2,000 that the partnership assumes. If the liability is shared equally with the other three partners, what is the basis of Horton's contribution for tax purposes? For GAAP purposes?
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