Question: Exercise 11-16 (Algorithmic) (LO. 4) In 2015, Dudley contributed land to the Prosperity LLC. His basis in the land was $250,200. The fair market value

Exercise 11-16 (Algorithmic) (LO. 4) In 2015, Dudley contributed land to the Prosperity LLC. His basis in the land was $250,200. The fair market value at the contribution date was $287,730. In 2016, the LLC distributes other property with an adjusted basis of $150,120 and fair market value of $225,180 to Dudley. Dudley's basis in his LLC interest was $125,100 immediately before the distribution. As a result of the distribution in 2016, how much gain does Dudley recognize, how much is his basis in his LLC interest after the distribution, and how much is the LLC's basis in the land Dudley originally contributed? budley recognizes gain of s100,08o X. His basis in his LLC interest is sx after the distribution and the LLCs 0 X after the distribution and the LLC's basis in the land Dudley originally contributed is now 250,200X

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