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The stock of Kenny Corp. is owned equally by two brothers. During 2007, the brothers transferred undeveloped land (with a basis to them of $300,000 and a fair market value of $320,000) as a contribution to capital to Kenny Corp. During September, 2011, Kenny Corp. adopted a plan of complete liquidation and subsequently made a pro rata distribution of the undeveloped land back to the brothers. At the time of the liquidating distribution, the land had a fair market value of $180,000. What amount of loss can be recognized by Kenny Corp. on the distribution of land?
Browse the South University online library to find a recently published nursing or nutrition research article on a topic that interests you.
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