In the current yoar, Mick, Hank, and Lulu form Hades Corporation Mick contributes land (a capital...

 

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In the current yoar, Mick, Hank, and Lulu form Hades Corporation Mick contributes land (a capital asset) having a $125,000 FMV in exchange for 145 shares of Hades slock He purchased the land three years ago for $140,000 Hank contributes machinery (Sec. 1231 property purchased four years ago) having a $130,000 adjusted basis and a $75,000 FMV in exchange for 105 shares of Hades stock Lulu contributes services worth $50,000 in exchange for 40 shares of Hades stock Read the togurements Requirement a. What is the amount of Mick's recognized gain or loss? Mick realizos a 15,000 loss and recognizes no gain or losis Requirement b. What is Mick's basis in his Hades shares? When does his hokding penod begin? Mick's basis in the Hades shares is and his holding period for the stock is deomed to bogin when Mick originally In the current yoar, Mick, Hank, and Lulu form Hades Corporation Mick contributes land (a capital asset) having a $125,000 FMV in exchange for 145 shares of Hades slock He purchased the land three years ago for $140,000 Hank contributes machinery (Sec. 1231 property purchased four years ago) having a $130,000 adjusted basis and a $75,000 FMV in exchange for 105 shares of Hades stock Lulu contributes services worth $50,000 in exchange for 40 shares of Hades stock Read the togurements Requirement a. What is the amount of Mick's recognized gain or loss? Mick realizos a 15,000 loss and recognizes no gain or losis Requirement b. What is Mick's basis in his Hades shares? When does his hokding penod begin? Mick's basis in the Hades shares is and his holding period for the stock is deomed to bogin when Mick originally