Please help answer the questions below.

Problems: 1. A, B and C, three individuals, form a general partnership by contributing the following property in exchange for equal 1/3 interests in the partnership's capital, profits, and losses: A contributes land, a capital asset that A acquired several years ago, worth $100 in which A has a tax basis of $40. B contributes machinery with a basis of $25 and a value of $60, plus $40 in cash. B purchased the machinery several years ago for $75 and has taken $50 of depreciation. C contributes inventory with a value of $100 in which C has a basis of $90. (2) What gain and/or loss will be recognized by the partners and the partnership on formation? (b) What will be the partnership's \"inside basis\" and holding period for each of the contributed assets? (c) What will be the partners' \"outside bases\" and holding period for their partnership interests? (d) Construct an opening balance sheet for ABC. Your balance sheet should be in the following form: Assets Liabilities & Capital Basis Book Liabilities Cash Other assets Capital Accounts Tax Book $ 2. D, E and F form a partnership by contributing the following property (in each case worth $200 net of liabilities) in exchange for equal 1/3 interests in the partnership's capital, profits and losses. The partnership assumes all liabilities encumbering the contributed assets. D contributes land with a fair market value of $400, which is encumbered by a recourse mortgage of $240. D has held the land for several years as an investment, and his basis in the land is $100. D also contributes $40 in cash. E contributes a building, a $ 1231 asset, with a value of $260 in which E has an adjusted basis of $130. The building was purchased several years ago by E and is subject to a recourse mortgage $60. F, a cash method taxpayer, contributes zero basis accounts receivable from his business worth $350, and assigns his accounts payable of $150 to the partnership. NOTE: For purposes of this problem, ignore the possibility that there might be a disguised sale, assume that DEF uses the traditional method for making $ 704(c) allocations, and finally assume that for purposes of $ 752 the partners share all partnership liabilities equally. (a) With respect to each partner, (i) Is any gain or loss recognized? (ii) What is her outside basis?(b) With respect to DEF: (1) Does it recognize any gain or loss on formation? (2) What is its inside basis in the contributed property? (c) Construct an opening balance sheet for the partnership similar to the one you constructed in Problem 1(d), above. (d) How would the consequences to D differ, if, instead of contributing the $40 of cash, D contributed her own negotiable promissory note for $40, bearing adequate stated interest