Trish and Ron form Pine Cororation. Trish transers inventory basis of $60,000 and fair market value of $110,000 for 50% of the stock in Pine. Ron transers machinery basis o $20,000 and air market value of $60,000 and agrees to serve as manager of Pine Cororation for one year for 50% of the stock. What are the tax consequences to Trish Ron and Pine Corporation
Trish and Ron form Pine Cororation. Trish transers inventory basis of $60,000 and fair market value of $110,000 for 50% of the stock in Pine. Ron transers machinery basis o $20,000 and air market value of $60,000 and agrees to serve as manager of Pine Cororation for one year for 50% of the stock. What are the tax consequences to Trish Ron and Pine Corporation
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Trish and Ron form Pine Cororation. Trish transers inventory basis of $60,000 and fair market value of $110,000 for 50% of the stock in Pine. Ron transers machinery basis o $20,000 and air market value of $60,000 and agrees to serve as manager of Pine Cororation for one year for 50% of the stock. What are the tax consequences to Trish Ron and Pine Corporation?
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