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The following information is available for Jain Corp. for the year ended December 31, 2012:
Other revenues and gains .............. $ 12,700Net sales ................................. $552,000Other expenses and losses ................ 13,300Operating expenses ...................... 186,000Cost of goods sold ....................... 156,000
Prepare a multiple-step income statement for Jain Corp. The company has a tax rate of 30%.
The building has an FMV of $45,000, an adjusted basis of $30,000, and is secured by a $35,000 nonrecourse mortgage that the business LLC will assume. Illustrate what is Brett's outside tax basis in his LLC interest?
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