Kyung Formed a Corporation and Owns All of the Stock

question 119

Multiple Choice

Kyung formed a corporation and owns all of the stock.He contributed property with a FMV of $90,000 and a basis of $85,000,and he received $15,000 cash from the corporation.Kyung's basis in his stock is:

• A)$70,000.
• B)$75,000.
• C)$85,000.
• D)$90,000.

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Definitions:

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