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Hunter, Renee, and Lynn form Bradley Corporation with the following consideration: Basis to Transferor Fair Market Value Number of Shares Issued From Jane - Equipment $90,000 $270,000 50* From Hunter - Secret process $5,000 $100,000 20 From Renee - Cash $50,000 $50,000 10 From Lynn - Inventory $85,000 $130,000 20 Jane receives $20,000 cash in addition to the 50 shares **Lynn receives $30,000 cash in addition to the 20 shares. Assume the value of each share of Bradley Corporation stock is $5,000. Jane's recognized gain or loss and its treatment. Jane's basis in the Bradley stock. Bradley Corporation's basis in the equipment. Hunter's recognized gain or loss. Hunter's basis in the Bradley stock. Hunter's Corporation's basis in the secret process. Renee's recognized gain or loss. Renee's basis in the Bradley stock. Lynn's recognized gain or loss. Identify the treatment given to any such gain or loss. Lynn's basis in Bradley's stock. Bradley Corporation's basis in the inventory.
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