SOLVED

74) Doug purchases a 20% interest in the Quix Partnership for $10,000 on January 1, 2019, and begins to materially participate in the partnership’s business. The Quix Partnership uses the calendar year as its tax year. At the time of the purchase, the Quix Partnership has $4,000 in liabilities, and Doug’s share is 20%. What is Doug’s basis in his partnership interest on January 1, 2010? 75) Dan purchases a 25% interest in the Haymarket Partnership for $20,000 on January 1, 2010, and begins to materially participate in the partnership’s business. The Haymarket Partnership uses the calendar year as its tax year. At the time of the purchase, the Haymarket Partnership has $2,000 in liabilities, and Dan’s share is 25%. During the year, the Haymarket Partnership incurs $8,000 in losses and its liabilities increase by $4000. What is Dan’s basis in his partnership interest on December 31, 2010? 76) Dan purchases a 25% interest in the Haymarket Partnership for $20,000 on January 1, 2010, and begins to materially participate in the partnership’s business. The Haymarket Partnership uses the calendar year as its tax year. At the time of the purchase, the Haymarket Partnership has $2,000 in liabilities, and Dan’s share is 25%. During the year, the Haymarket Partnership incurs $100,000 in losses and its liabilities increase by $4000. What is Dan’s basis in his partnership interest on December 31, 2010? 77) Jane contributes land with an FMV of $100,000 and a basis of $80,000 to the Green Partnership in exchange for a 25% partnership interest. The partnership assumes the $40,000 mortgage on the land. Mary has a 25% share of partnership liabilities. The Green Partnership has $8,000 in liabilities immediately before Jane’s contribution. What is Jane’s basis in her partnership interest? 78) Jane contributes land with an FMV of $100,000 and a basis of $40,000 to the Green Partnership in exchange for a 25% partnership interest. The partnership assumes the $80,000 mortgage on the land. Mary has a 25% share of partnership liabilities. The Green Partnership has $8,000 in liabilities immediately before Jane’s contribution. What is Jane’s basis in her partnership interest?