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Thanks for your help!!! 31. Breezy Corporation is owned 75% by Leticia and 25% by LaShawn. Breezy Corporation owns Cloud...

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31. Breezy Corporation is owned 75% by Leticia and 25% by LaShawn. Breezy Corporation owns Cloud Corporation stock with a $45,000 adjusted basis and a $25,000 FMV. The stock is not disqualified property. As part of a complete liquidation, the Cloud Corporation stock is distributed to LaShawn. LaShawn's basis in her Breezy stock is $35,000. Breezy Corporation will recognize

A) none of the above.

B) a $15,000 loss.

C) a $25,000 gain.

D) no loss.

32. Lake City Corporation owns all of the stock in Columbia Corporation. Pursuant to a plan of complete liquidation, Columbia distributes land having a $500,000 FMV and a $200,000 basis to Lake City. Lake City's basis in the land will be

A) 0.

B) $200,000.

C) $500,000.

D) cannot be determined from the facts presented

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Answer is highlighted in yellow: Both are individual questions, although both have been answered :) Solution: D) no loss. Ans

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