Partners' capital accounts will be considered to be properly determined and maintained if, and only if, each partner's capital account

 a. is increased by the adjusted basis of property contributed by him to the partnership (net of liabilities secured by such contributed property that the partnership is considered to assume or take subject to under section 752). 

b. is decreased by the fair market value of property contributed by him to the partnership (net of liabilities secured by such contributed property that the partnership is considered to assume or take subject to under section 752).

 c. is increased by the fair market value of property contributed by him to the partnership (without adjustment for liabilities). 

d. is increased by the fair market value of property contributed by him to the partnership (net of liabilities secured by such contributed property that the partnership is considered to assume or take subject to under section 752). 

e. None of the Above.

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The detailed answer for the above question is provided below The correct option is d is incr... View the full answer