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Mathematics, 26.07.2019 07:40 enriquerer12
Dana and mike decide to form their new motorcycle business as a llc. each will receive an equal profits (loss) interest by contributing cash, property, or both. in addition to the members' contributions, their llc will obtain a $75,000 loan nonrecourse loan from first bank at the time it is formed. mike contributes cash of $10,000 and a building he bought as a storefront for the motorcycles. the building has a fmv of $65,000, an adjusted basis of $35,000, and is secured by a $40,000 nonrecourse mortgage that the business llc will assume. what is mike's outside tax basis in his llc interest?
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