Unformatted text preview: and Lee, the corporation (Florida Orange, Inc.), or a third party (e.g., the seller of real estate). Multiple taxes apply to each transaction. Include current and annual taxes. Ignore income taxes. a. They issue 10,000 shares of stock to Bob for $400,000 cash and 10,000 shares of stock to Lee for $300,000 cash plus equipment worth $100,000 (and with an income tax adjusted basis of $30,000). b. Florida Orange buys a building paying $100,000 down and taking out a $400,000 mortgage....
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- Fall '08