Problem $10-8$

Partnership Formation $($LO $10\mathrm{.}2)$ receives a $60-$percent interest in Sioux in exchange for providing services worth $\backslash$$$10,000$ and $\backslash$$$170,000$ cash.

If an amount is zero, enter $"0".$

a$.$ What amount of gain or loss must Kele recognize as a result of transferring the property to the partnership?

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b$.$ What is Kele's basis in the partnership interest immediately after the formation of the partnership including allocation of partnership liabilities?

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c$.$ What is the partnership's basis in the property contributed by Kele?

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$\backslash (\backslash$ddagger $\backslash )$

e$.$ How much income does Nova recognize on the exchange?

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