Jocelyn contributes land with a basis of $60,500 and fair market value of $90,750 and inventory with a basis of $22,600 and fair market value of $33,900 in exchange for 100% of Zion Corporation stock. The land is subject to a $15,125 mortgage.

If an amount is zero, enter "0"

The exchange Selectisis notItem 1 tax-free under § 351 because the release of a liability Selectisis not Item 2 treated as boot under § 357(a). As a result, Jocelyn has income of $ and a basis $ in her stock.

Costco wholesale corporation operates membership warehouses selling food, appliances, consumer electronics, apparel and other household goods at 471 locations across the u.s. as well as in canada, mexico and puerto rico. as of its fiscal year-end 2005, costco had approximately 21.2 million members. selected fiscal-year information from the company's balance sheets follows. ($ millions). selected balance sheet data 2005 2004 merchandise inventories $4,015 $3,644 deferred membership income (liability) 501 454 (a) during fiscal 2005, costco collected $1,120 cash for membership fees. use the financial statement effectstemplate to record the cash collected for membership fees. (b) in 2005, costco recorded $46,347 million in merchandise costs (that is, cost of goods sold). record thistransaction in the financial statement effects template. (c) determine the value of merchandise that costco purchased during fiscal-year 2005. use the financial statementeffects template to record these merchandise purchases. assume all of costco's purchases are on credit.