Question: Lance contributed investment property worth $ 6 9 2 , 5 0 0 , purchased four years ago for $ 4 1 2 , 5

Lance contributed investment property worth $692,500, purchased four years ago for $412,500 cash, to Cloud Peak LLC in exchange for an 80 percent profits and capital interest in the LLC. Cloud Peak owes $312,500 to its suppliers but has no other liabilities.
Problem 20-38 Part a (Algo)
a. What is Lance's tax basis in his LLC interest?

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