Hal transferred land having a $160,000 FMV and a $75,000 adjusted basis which is subject to a $150,000 mortgage in exchange for a one-third interest in the HEF Partnership.Hal acquired the land ten years ago.The partnership owes no other liabilities.Hal,Ellen,and Felix share profits and losses equally and each has an one-third interest in partnership capital.Hal's basis in the one-third partnership interest is
A)$0.
B)($25,000).
C)$75,000.
D)$85,000.

Question

Quizplus · Accepted Answer

The Answer of Hal transferred land having a $160,000 FMV and a $75,000 adjusted basis which is subject to a $150,000 mortgage in exchange for a one-third interest in the HEF Partnership.Hal acquired the land ten years ago.The partnership owes no other liabilities.Hal,Ellen,and Felix share profits and losses equally and each has an one-third interest in partnership capital.Hal's basis in the one-third partnership interest is
A)$0.
B)($25,000).
C)$75,000.
D)$85,000.

Hal Transferred Land Having a $160,000 FMV and a $75,000