Required information [The following information applies to the questions displayed below.] Melissa, Nicole, and Ben 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 Req C1 $ 20,160 Melissa receives one-third of each of the partnership assets. She has a basis in her partnership interest of $29,680. (Leave no answer blank. Enter zero if applicable.) Req C2 8,940 37,200 $ 66,300 What are the amount and character of Melissa's recognized gain or loss if her outside basis is $13,160 rather than $29,680? What is Melissa's basis in the distributed assets if her basis in Opto Partnership is $13,160 rather than $29,680? FMV $ 20,160 26,880 15,600 50,400 $ 113,040 Complete this question by entering your answers in the tabs below. Basis hat is Melissa's basis in the distributed assets if her basis in Opto Partnership is $13,160 rather than $29,680?
Required information [The following information applies to the questions displayed below.] Melissa, Nicole, and Ben 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 Req C1 $ 20,160 Melissa receives one-third of each of the partnership assets. She has a basis in her partnership interest of $29,680. (Leave no answer blank. Enter zero if applicable.) Req C2 8,940 37,200 $ 66,300 What are the amount and character of Melissa's recognized gain or loss if her outside basis is $13,160 rather than $29,680? What is Melissa's basis in the distributed assets if her basis in Opto Partnership is $13,160 rather than $29,680? FMV $ 20,160 26,880 15,600 50,400 $ 113,040 Complete this question by entering your answers in the tabs below. Basis hat is Melissa's basis in the distributed assets if her basis in Opto Partnership is $13,160 rather than $29,680?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Required information
[The following information applies to the questions displayed below.]
Melissa, Nicole, and Ben 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
Req C1
Tax Basis
Melissa receives one-third of each of the partnership assets. She has a basis in her partnership interest of $29,680. (Leave
no answer blank. Enter zero if applicable.)
Req C2
$ 20,160
c1. What are the amount and character of Melissa's recognized gain or loss if her outside basis is $13,160 rather than $29,680?
c2. What is Melissa's basis in the distributed assets if her basis in Opto Partnership is $13,160 rather than $29,680?
0
8,940
37,200
$ 66,300
Complete this question by entering your answers in the tabs below.
Cash
Accounts receivable
Stock investment
Land
FMV
$ 20,160
26,880
15,600
50,400
$ 113,040
Basis
What is Melissa's basis in the distributed assets if her basis in Opto Partnership is $13,160 rather than $29,680?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F5ca2496a-61fa-417a-8993-fe84b1d25117%2F8eed89df-f091-4ef9-89ba-22fc8618e9ec%2Fltcsuhd_processed.png&w=3840&q=75)
Transcribed Image Text:Required information
[The following information applies to the questions displayed below.]
Melissa, Nicole, and Ben 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
Req C1
Tax Basis
Melissa receives one-third of each of the partnership assets. She has a basis in her partnership interest of $29,680. (Leave
no answer blank. Enter zero if applicable.)
Req C2
$ 20,160
c1. What are the amount and character of Melissa's recognized gain or loss if her outside basis is $13,160 rather than $29,680?
c2. What is Melissa's basis in the distributed assets if her basis in Opto Partnership is $13,160 rather than $29,680?
0
8,940
37,200
$ 66,300
Complete this question by entering your answers in the tabs below.
Cash
Accounts receivable
Stock investment
Land
FMV
$ 20,160
26,880
15,600
50,400
$ 113,040
Basis
What is Melissa's basis in the distributed assets if her basis in Opto Partnership is $13,160 rather than $29,680?
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