Question: Example 2 - 1 : Alice owns all 1 0 0 shares of Local Corporation's stock, valued at $ 1 0 0 , 0 0

Example 2-1: Alice owns all 100 shares of Local Corporation's stock, valued at $100,000. Beth
owns property that has a $15,000 adjusted basis and a $100,000 FMV. Beth contributes the
property to Local Corporation in exchange for 100 shares of newly issued stock. Can you offer
suggestions to improve the consequences of the transaction?
Example 2 - 1 : Alice owns all 1 0 0 shares of

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