The ABC cash method general partnership, which has made a Section 754 election, had thefollowing balance sheet at the time D purchased C's interest for $60,000. None of the partnership's assets were contributed by a partner:

FMV A/B FMV A/B

Accounts receivable $ 30,000 $ Liabilities $ 30,000

Inventory 60,000 30,000 Capital

Land (Sec. 1231) 15,000 30,000 Partner A 60,000 30,000

Building (Sec. 1231) 105,000 30,000 Partner B 60,000 30,000

Total assets 210,000 90,000 artner C 60,000 30,000

Total liabs. + capital 210,000 90,000

What is D's personal inside basis in each of the assets?

What is D's personal inside basis in the assets if he paid $70,000 for C's interest? SeeTemp. Reg. 1. 755-2T

(c) Same as (a), above, except that C contributed the accounts receivable at a time when the fair market value of the receivables was $30,000 and their basis was zero?