A Transfers Machines Valued at $170,000 (Basis = $150,000) Along

question 63

Multiple Choice

A transfers machines valued at $170,000 (basis = $150,000) along with $30,000 cash to AB Corporation and B transfers real property valued at $320,000 (basis = $310,000) to the corporation. A receives 40 percent of the outstanding stock and B receives 60 percent. B also receives $20,000 from the corporation. What is AB Corporation's basis for the real property?

• A) $300,000
• B)$310,000
• C) $320,000
• D) $330,000

---

Definitions:

Stereocenter

An atom in a molecule that is bonded to four different groups, creating different spatial arrangements.

Enantiomer

Molecules that are mirror images of each other and cannot be superimposed onto each other, commonly found in chiral molecules.

Diastereomers

Non-mirror-image stereo isomers that have varying physical and chemical properties from each other.

Stereocenters

Chiral centers in a molecule, points at which the molecule can adopt different spatial arrangements leading to different stereoisomers.