Stoneman Corporation had the following assets on December 31, 2020: Basis to Stoneman Corporation Fair Market Value Cash.......................................

Stoneman Corporation had the following assets on December 31, 2020:

           Basis to Stoneman Corporation                             Fair Market Value

• Cash........................................ $31,000.................................. $31,000
• Inventory................................... 30,720.................................. 122,880
• Building and Land..................... 61,440.................................. 199,680
• Equipment............................... 178,176.................................... 30,720
• Investment stock........................ 55,296.................................... 32,000

The inventory was purchased by Stoneman Corporation. The investment stock was acquired from one of the corporation's shareholders Gary, as a capital contribution on November 15, 2019, when the stock had a fair market value of $36,864 and an adjusted basis of $55,296. The remaining assets were acquired from the shareholders when Stoneman Corporation was formed four years ago. Stoneman Corporation adopts a plan of liquidation on December 31,2020, and will distribute all of its assets on that date to its two unrelated shareholders, Ellen (80 percent of the stock in Stoneman with a stock basis of $168,960), and Gary (20 percent of the stock in Stoneman with a stock basis of $82,944). Structure a liquidation that will minimize the tax liabilities to Stoneman Corporation and it its two shareholders and show all of your computations.