Value amounts?

Tax Drill - Contribution of Certain Assets On January 2 of the current year, Fenton and Myers form the FM LLC. Their contributions to the LLC are as follows: Adjusted Basis Fair Market Value From Fenton: Cash $50,000 $50,000 Accounts receivable 50 $90,000 Inventory $25,000 $60,000 From Myers: Cash $200,000 $200,000 Within 30 days of formation, FM collects the receivables and sells the inventory for $60,000 cash. FM realized the following income in the current year from these transactions: . Ordinary income v of $ 150,000 X from collecting cash basis accounts receivable. . Ordinary income v of $ 25,000 X from sale of inventory