Milo Contributes a Building with a Fair Market Value of $400,000

question 23

Multiple Choice

Milo contributes a building with a fair market value of $400,000 to a new partnership in exchange for a 25% interest. His adjusted basis in the building is $125,000, which is subject to a $100,000 mortgage. The partnership assumes the mortgage. What is Milo's basis in his partnership interest?

• A)$50,000
• B)$75,000
• C)$100,000
• D)$125,000
• E)$400,000

---

Definitions:

Apgar Test

A quick assessment performed on a newborn at 1 and 5 minutes after birth, measuring heart rate, respiratory effort, muscle tone, reflex response, and skin color.

Birthing Center

A healthcare facility focused on providing a more home-like and less clinical environment for childbirth, often emphasizing minimal medical intervention.

Healthy Newborn

A healthy newborn is an infant who, at the time of birth, shows no signs of distress or anomalies, presenting with stable vital signs and indicators of good health.

Correct Code

An accurate representation or value used in programming or data processing that meets the required specifications.