Marsha is going to contribute the following assets to a business entity in exchange for an ownership interest.
Adjusted Basis FMV
Cash $100,000 $100,000
Land and building 60,000 95,000
What are the tax consequences of the contribution to Marsha if the business entity is a(n):
a. Sole proprietorship?
b. General partnership?
c. Limited partnership?
d. C corporation?
e. S corporation?

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The Answer of Marsha is going to contribute the following assets to a business entity in exchange for an ownership interest.
Adjusted Basis FMV
Cash $100,000 $100,000
Land and building 60,000 95,000
What are the tax consequences of the contribution to Marsha if the business entity is a(n):
a. Sole proprietorship?
b. General partnership?
c. Limited partnership?
d. C corporation?
e. S corporation?

Marsha Is Going to Contribute the Following Assets to a Business