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Part $1$

Doug receives a duplex as a gift from his uncle. The$$ uncle's basis for the duplex and land is $ $90$ comma $000.$ At the time of the$$ gift, the land and building have fair market values$($FMVs$)$ of $ $40$ comma $000$ and $ $80$ comma $000,$ respectively. No gift tax is paid by Doug's uncle at the time of the gift.

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Part $1$

Requirement a$.$ To determine$$ gain, what is Doug's basis for the$$ land? $($Do not round intermediary calculations. Only round the amount you input in the cell to the nearest$$ dollar.$)$

To determine gain, Doug's $($the donee's$)$ basis for the land is

Part $2$

Requirement b$.$ To determine$$ gain, what is Doug's basis for the$$ building? $($Do not round intermediary calculations. Only round the amount you input in the cell to the nearest$$ dollar.$)$

To determine gain, Doug's $($the donee's$)$ basis for the building is

Part $3$

Requirement c$.$ Will the basis of the land and building be the same as in Parts a and b for purposes of determining a$$ loss?

$$

No

Yes

$,$ the basis of the land and building

$$

will be

will not be

the same as in Parts a and b for purposes of determining a loss because

$$

the FMV of the gift is greater than the donor's basis

the FMV of the gift is less than the donor's basis

$.$