Benjamin, Catheryn, Barb and Michael are knowledgeable about pool design. They have decided to pool their knowledge and resources to form Shallow Beach Enterprises Inc., a C corporation. They will provide professional services to area businesses and homeowners. All participants expect to work full time for Shallow Beach Enterprises, and each expects to contribute sufficient assets to become a 25% shareholder with total stock equity of $50,000 each.

In addition to the skills that each brings to the new entity, the owners will contribute assets that will enhance the company's ability to provide quality technical design and planning services. These assets include a building, land, pool excavating equipment, office furniture, and cash for initial operating expenses.

The assets contributed by each shareholder, along with any related liabilities assumed by the corporation, are provided below.

Shareholder	FMV of noncash property contributed	Liability assumed by corporation	Basis in noncash property contributed	Cash Contributed	Cash paid to shareholder by corporation
Benjamin	118,000	58,000	95,000	0	9,000
Catheryn	81,000	51,000	40,000	21,000	0
Barb	45,000	18,000	15,000	31,000	0
Michael	71,000	0	50,000	0	20,000

complete the following table. show your work

	Gain Realized	Gain Recognized	Tax Basis in Shares
Benjamin
Barb