Dan, a lawyer, owns real estate with a basis of $10,000 and a fair market value of $18,000. Elite has outstanding 100 shares, all held by Mr.
Dan, a lawyer, owns real estate with a basis of $10,000 and a fair market value of $18,000. Elite has outstanding 100 shares, all held by Mr.Able. Elite issues 400 additional shared of its common stock (having a fair market value of $18,000) to Dan in exchange for his property worth $18,000Assume that in addition to the 400 shares received by Dan for his real […]