Question - Three individuals form a partnership sharing in profits and losses equally. Andy contributes $10,000 cash. Barney contributes $5,000 cash and land worth $5,000 in which he has a basis of $4,000. Cathy contributes machinery with a FMV of $16,000 subject to a mortgage of $6,000, which the partnership assumes. Her basis in the machinery is $16,000.
What is each partner's adjusted basis in the partnership?