Homework Answers
Answer:
a. The depreciable basis is the lower of the FMV or basis at the date of conversion. Therefore, the depreciable basis is $270,000 depreciated on a 27½ year mid-month method.
$270,000 x .03485 = $9,409.50
b. $324,000 x .03485 = $11,291.40
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As of January 1,
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operating the property as a sole proprietorship. The property is
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partnership.
Betty contributed
$1,080,000 cash and an apartment complex valued at $2,600,000 and
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