Randolph is a 30 percent partner in the RD Partnership. On January 1, RD distributes $ 15,000 cash, an investment with a fair value of $ 20,000 (inside basis of $10,000), and a parcel of land with a fair value of $10,000 (inside basis of $ 5,000) to Randolph in complete liquidation of his interest. RD has no liabilities at the date of the distribution. Randolph's basis in his RD Partnership interest is $48,000. What is Randolph's basis in the distributed investment and land? Multiple Choice $10,000 investment, $ 5,000 land $22,000 investment, $11,000 land $ 20,000 investment, $10,000 land $20,000 investment, $13,000 land

Randolph is a 30 percent partner in the RD Partnership. On January 1, RD distributes $ 15,000 cash, an investment with a fair value of $ 20,000 (inside basis of $10,000), and a parcel of land with a fair value of $10,000 (inside basis of $ 5,000) to Randolph in complete liquidation of his interest. RD has no liabilities at the date of the distribution. Randolph's basis in his RD Partnership interest is $48,000. What is Randolph's basis in the distributed investment and land? Multiple Choice $10,000 investment, $ 5,000 land $22,000 investment, $11,000 land $ 20,000 investment, $10,000 land $20,000 investment, $13,000 land

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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