Abigail contributes land with an adjusted basis of $56,000 and a fair market value of $58,000 to

Question:

Abigail contributes land with an adjusted basis of $56,000 and a fair market value of $58,000 to Blair and Partners, a partnership. Abigail receives a 50% interest in Blair. What is Abigail’s basis in her partnership interest?

a. $0

b. $28,000

c. $29,000

d. $56,000

e. $58,000

Partnership
A legal form of business operation between two or more individuals who share management and profits. A Written agreement between two or more individuals who join as partners to form and carry on a for-profit business. Among other things, it states...

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