Question - Faith inherits an undivided interest in a parcel of land from her father on February 15, 2005. Her father had purchased the land on August 25, 1965 and his basis for the land was $325,000. The fair market value of the land is $1,250,000 on the date of her father's death and is $1,100,000 six months later. The executor elects the alternate valuation date. Faith has nine brothers and sisters and each inherited a one-tenth interest.
I) What is Faith's adjusted basis for her one-tenth undivided interest?
II) What is her holding period for the land?