A, B, and C, three individuals form a general parntership by contributing the following property in exchange for equal 1/3 interests in the partnership's capital, profits, and losses:

A Contributes land, a capital asset that A acquired several years ago, worth $100 in which A has a tax basis of $40.

B contributes machinery with a basis of $25 and a value of $60, plus $40 in cash. B purchased the machinery several years ago for $75 and has taken $50 of depreciation.

C contributes inventory with a value of $100 in wgich C had a basis of $90.

4. Construct an opening balance sheet for the partnership. The balance sheet myst consist of three elements: Assets, Liabilities, and Partner's capital. Each element must have two columns: Tax badus and Book value (FMV).