Answer:
Adjusted basis for Kamir's share = $70,000
Explanation:
Adjusted basis for any share, is the original cost or value, and does not represent fair value, for any share.
Therefore, for calculating the adjusted basis for Kamir, the original value of all the contributions made by him will be considered.
His contributions are:
Equipment with fair value = $100,000 and adjusted basis = $55,000
Services with a value = $15,000
As for equipment adjusted basis is provided, therefore, that will be considered, and for services assuming this is the adjusted basis as not provided, $15,000 will be considered.
Therefore, adjusted basis for Kamir's share = $55,000 + $15,000 = $70,000.
