The Taurin Partnership (a calendar-year-end entity) has the following assets as of December 31 of the current year: Cash Accounts receivable Inventory Totals Problem 21-46 Part c (Algo) Tax Basis On December 31, Taurin distributes $16,840 of cash, $11,227 (FMV) of accounts receivable, and $43,220 (FMV) of Inventory to Emma (a one-third partner) in termination of her partnership Interest. Emma's basis in her partnership Interest Immediately prior to the distribution is $44,063. $ 50,520 16,840 87,900 $ 155,260 Required C1 Required C2 #equired: 1. If Emma's basis before the distribution was $60,788 rather than $44,063, what is Emma's recognized gain or loss? 2. What is her basis in the distributed assets? FMV $ 50,520 33,680 129,660 $ 213,860 Complete this question by entering your answers in the tabs below. Cash Accounts receivable Inventory What is her basis in the distributed assets? Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount. Basis
The Taurin Partnership (a calendar-year-end entity) has the following assets as of December 31 of the current year: Cash Accounts receivable Inventory Totals Problem 21-46 Part c (Algo) Tax Basis On December 31, Taurin distributes $16,840 of cash, $11,227 (FMV) of accounts receivable, and $43,220 (FMV) of Inventory to Emma (a one-third partner) in termination of her partnership Interest. Emma's basis in her partnership Interest Immediately prior to the distribution is $44,063. $ 50,520 16,840 87,900 $ 155,260 Required C1 Required C2 #equired: 1. If Emma's basis before the distribution was $60,788 rather than $44,063, what is Emma's recognized gain or loss? 2. What is her basis in the distributed assets? FMV $ 50,520 33,680 129,660 $ 213,860 Complete this question by entering your answers in the tabs below. Cash Accounts receivable Inventory What is her basis in the distributed assets? Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount. Basis
Chapter28: Income Taxation Of Trusts And Estates
Section: Chapter Questions
Problem 15CE
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