Melissa, Nicole, and Miguel 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:
Melissa, Nicole, and Miguel 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:
Chapter10: Partnerships: Formation, Operation, And Basis
Section: Chapter Questions
Problem 59P
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![Required information
[The following information applies to the questions displayed below.]
Melissa, Nicole, and Miguel 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
$ 18,360
7,740
31,200
FMV
$ 18,360
0
24,480
12,600
38,400
$ 57,300
$ 93,840
Melissa receives one-third of each of the partnership assets. She has a basis in her partnership interest of $25,780.
Note: Leave no answer blank. Enter zero if applicable.
b. What is Melissa's basis in the distributed assets?
Answer is not complete.
Basis
Cash
$
6,120
Accounts receivable
$
Stock investment
Land](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F15773e6a-9c7e-4d51-9f72-e3b37969ca2c%2Faa9c85fb-c524-46c3-8d5a-055f2d8b1154%2F13xxf27_processed.png&w=3840&q=75)
Transcribed Image Text:Required information
[The following information applies to the questions displayed below.]
Melissa, Nicole, and Miguel 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
$ 18,360
7,740
31,200
FMV
$ 18,360
0
24,480
12,600
38,400
$ 57,300
$ 93,840
Melissa receives one-third of each of the partnership assets. She has a basis in her partnership interest of $25,780.
Note: Leave no answer blank. Enter zero if applicable.
b. What is Melissa's basis in the distributed assets?
Answer is not complete.
Basis
Cash
$
6,120
Accounts receivable
$
Stock investment
Land
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