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15 December, 21:41

David and Mark both contributed $100,000 on January 1, 2019, to form DM Limited Partnership. David is a general partner, and Mark is a limited partner. The partnership agreement provided that David would bear any risk of loss and profits would be shared equally. Shortly after the formation, DM Limited Partnership purchased land with a $500,000 fair market value and a $300,000 recourse mortgage. DM's liability

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  1. 15 December, 22:29
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    Answer: DM's liability

    Increases David's partnership basis by $300,000.
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