Mark, John, Paul, and Peter formed Applesauce Co., a C corporation, on January 2, Year 1. Information regarding each shareholder's contributions and stock ownership is provided below.

Shareholder	Property Contributed	Stock Received
Mark	$20,000 cash; property worth $60,000 ($40,000 basis)	40%
John	$10,000 cash; property worth $50,000 ($30,000 basis), with related liability of $20,000 assumed by the corporation	20%
Paul	Property worth $60,000 ($50,000 basis); received $10,000 in cash from corporation	25%
Peter	$10,000 in cash; property worth $40,000 ($5,000 basis), with related liability of $20,000 assumed by the corporation	15%
		100%

Using the information provided in the lesson, complete the table below by entering the appropriate amounts in the associated cells. Enter gains as positive values and losses as negatives values. If a value is zero, enter a zero.
	Shareholder Gain Realized	Shareholder Gain Recognized	Shareholder Tax Basis in Stock	Corporation's Tax Basis in Noncash Property Received From Shareholder
Mark
John
Paul
Peter

Answer rating: 100% (QA)

Mark Shareholder Gain Realized FMV Basis 60000 40000 20000 Shareholder Gain Recognized According to ... View the full answer