C12-Chp-04-5-CPA-Exam-Organize-Partnership

C12-Chp-04-5-CPA-Exam-Organize-Partnership -...

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4f9df4ce40c40cf09d9f7c90a4fdb74611dd6e01.doc 1. Strom acquired a 25 percent interest in Ace Partnership by contributing land having an adjusted basis of $16,000 and a fair market value of $50,000. The land was subject to a $24,000 mortgage, which was assumed by Ace. No other liabilities existed at the time of the contribution. What was Strom's basis in Ace? a. $0 b. $16,000 c. $26,000 d. $32.000 CPA May, 1995 2. Eng contributed the following assets to a partnership in exchange for a 50% interest in the partnership's capital and profits: Cash. .................................................................... $50 000 Equipment: Fair market value. ................................................ 35,000 Carrying amount (adjusted basis). ....................... 25,000 The basis for Eng's interest in the partnership is a. $37,500 b. $42,500 c. $75.000 d. $85,000 CPA - May, 1991 3. On January 2, 2001, Black acquired a 50% interest in New Partnership by contributing property with an adjusted basis of $7,000 and a fair market value of $9,000, subject to a mortgage of $3,000. What was Black's
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This note was uploaded on 03/09/2012 for the course ACCT 6120 taught by Professor Godfrey,h during the Spring '08 term at UNC Charlotte.

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