Lacy contributes the following assets to a partnership for a 25% interest: The land and the van have a basis to the partnership of:

Question

Lacy contributes the following assets to a partnership for a 25% interest:  The land and the van have a basis to the partnership of:

Quizplus · Accepted Answer

According to the information provided, Lacy contributes land and a van to the partnership. The basis of these assets to the partnership depends on whether they are appreciated or depreciated. Since there is no information provided on the appreciation or depreciation of these assets, we assume they are not appreciated or depreciated, and their basis is equal to Lacy's basis. Therefore, the basis of the land is $15,000 (which is Lacy's basis) and the basis of the van is $10,000 (which is Lacy's basis).

Lacy Contributes the Following Assets to a Partnership for a 25