Gerald received a one-third capital and profit (loss) interest in XYZ Limited Partnership (LP). In exchange for this interest, Gerald contributed a building with a FMV of $31,000. His adjusted basis in the building was $15,500. In addition, the building was encumbered with a $9,300 nonrecourse mortgage that XYZ,  LP assumed at the time the property was contributed. What is Gerald's outside basis immediately after his contribution? Multiple Choice ___ $6,200. ___ $9,300. ___ $21,700. ___ $24,800.

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