Please find below the following 7 questions all related to auditing. EACH ANSWER must be at least 100 word and ORIGINALWORDING.

1. Which legal entities may file as tax partnerships?

2. Noah, Sadie, and Maven form a LLC using tax partnership for tax filing purposes. Noah contributes $1 Million cash for a 1/3 interest in capital and profits. Sadie does the same. Maven contributes a patent with $1.3 million FMV with a $300,000 loan. The LLC takes over the loan. Maven also has a 1/3 interest in capital and profits. Maven has $600,000 tax cost (basis) in the patent.

What tax basis does Noah, Sadie and Maven each have in the tax partnership at formation? And, you may consider showing us how you computed the amounts.

3. Noah, Sadie, and Maven form a LLC using tax partnership for tax filing purposes. Noah contributes $1 Million cash for a 25% interest in capital and profits. Sadie does the same. Maven contributes a patent with $2.5 million FMV with a $500,000 loan. The LLC takes over the loan. Maven has a 50% interest in capital and profits. Maven has $400,000 tax cost (basis) in the patent. Val contributes land with a $1.2 Million FMV along with a $200,000 loan -- LLC takes over the loan. Maven has $900,000 tax cost in the land.Val has a 25% interest in capital and profits.

At first year's end, the LLC distributes $500,000 Million cash to the partners based on capital and profit interests. And, the LLC reports $800,000 taxable income for with no separate items for the year.

What tax basis does Noah, Sadie, Maven each have in the tax partnership at year end? And, you may consider showing us how you computed the amounts.

4. Explain the concept of a limited liability limited partnership?

5. A limited partnership (LP) has one general partner and multiple limited partners.

What is the advantage of being a limited partner versus a general partner in a LP?

6. A tax partnership has $2.5 Million taxable income for the year.

What happens to this taxable income -- does the partnership pay taxes on it? Who pays and how does this work?

7. Three shareholders formed AXV INC this past year. The corporation elected tax S status. This corporation had $1 Million taxable income for the year and in addition, the corporation reported a $200,000 long term capital gain. Individual Eleanor owns 6,000 shares, Individual Noah owns 1,000 shares, and Individual Tev owns 3,000 shares. The corporation has 10,000 shares outstanding.

How do we allocate these two pieces of income to the three shareholders and how much does each individual get?