b. What is Melissa's basis in the distributed assets? Basis Cash $ 6,690 Accounts receivable $ 0 Stock investment Land Required information [The following information applies to the questions displayed below.] Melissa, Nicole, and Miguel are equal partners in the Opto Partnership (a calendar-year-end entity). Melissa decides she wants to exit the partnership and receives a proportionate distribution to liquidate her partnership interest on January 1. The partnership has no liabilities and holds the following assets as of January 1: Cash Accounts receivable Stock investment Land Totals Tax Basis FMV $ 20,070 $ 20,070 0 26,760 8,880 36,900 15,450 49,800 $ 65,850 $ 112,080 Melissa receives one-third of each of the partnership assets. She has a basis in her partnership interest of $29,485. Note: Leave no answer blank. Enter zero if applicable.
b. What is Melissa's basis in the distributed assets? Basis Cash $ 6,690 Accounts receivable $ 0 Stock investment Land Required information [The following information applies to the questions displayed below.] Melissa, Nicole, and Miguel are equal partners in the Opto Partnership (a calendar-year-end entity). Melissa decides she wants to exit the partnership and receives a proportionate distribution to liquidate her partnership interest on January 1. The partnership has no liabilities and holds the following assets as of January 1: Cash Accounts receivable Stock investment Land Totals Tax Basis FMV $ 20,070 $ 20,070 0 26,760 8,880 36,900 15,450 49,800 $ 65,850 $ 112,080 Melissa receives one-third of each of the partnership assets. She has a basis in her partnership interest of $29,485. Note: Leave no answer blank. Enter zero if applicable.
Financial Accounting
14th Edition
ISBN:9781305088436
Author:Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:Carl Warren, Jim Reeve, Jonathan Duchac
Chapter12: Accounting For Partnerships And Limited Liability Companies
Section: Chapter Questions
Problem 4PB
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Question
Transcribed Image Text:b. What is Melissa's basis in the distributed assets?
Basis
Cash
$
6,690
Accounts receivable
$
0
Stock investment
Land
![Required information
[The following information applies to the questions displayed below.]
Melissa, Nicole, and Miguel are equal partners in the Opto Partnership (a calendar-year-end entity). Melissa decides she
wants to exit the partnership and receives a proportionate distribution to liquidate her partnership interest on January 1.
The partnership has no liabilities and holds the following assets as of January 1:
Cash
Accounts receivable
Stock investment
Land
Totals
Tax Basis
FMV
$ 20,070
$ 20,070
0
26,760
8,880
36,900
15,450
49,800
$ 65,850
$ 112,080
Melissa receives one-third of each of the partnership assets. She has a basis in her partnership interest of $29,485.
Note: Leave no answer blank. Enter zero if applicable.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F5328c12f-e34a-4a1d-b440-4bff5d546c4c%2F16c2dbaa-6210-4fea-9461-b6eeecf1e8cb%2Fkak2f2_processed.png&w=3840&q=75)
Transcribed Image Text:Required information
[The following information applies to the questions displayed below.]
Melissa, Nicole, and Miguel are equal partners in the Opto Partnership (a calendar-year-end entity). Melissa decides she
wants to exit the partnership and receives a proportionate distribution to liquidate her partnership interest on January 1.
The partnership has no liabilities and holds the following assets as of January 1:
Cash
Accounts receivable
Stock investment
Land
Totals
Tax Basis
FMV
$ 20,070
$ 20,070
0
26,760
8,880
36,900
15,450
49,800
$ 65,850
$ 112,080
Melissa receives one-third of each of the partnership assets. She has a basis in her partnership interest of $29,485.
Note: Leave no answer blank. Enter zero if applicable.
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