ABC Partnership makes a proportionate liquidating distribution to Stephanie of $
ID: 2601127 • Letter: A
Question
ABC Partnership makes a proportionate liquidating distribution to Stephanie of $156,000 in cash, machinery worth $60,000 with a basis of $20,000, a vehicle worth $2,000 with a basis of $10,000 and inventory worth $100,000 and a basis of $105,000. Stephanie is also relieved of debt in the amount of $70,000. Stephanie has an outside basis in the partnership of $339,000. What is Stephanie’ recognized gain or loss on the distribution?
56. What is Stephanie’s basis in the vehicle that was distributed in the liquidation?
A. $1908
B. $1989
C. $1900
D. $2000
Explanation / Answer
Stephine loss is Rs. $24,000
56 Answer :- Stephanie 's basis in the vehicle that was distributed in the liquidation is $ 1900