Amy contributed property to the AAA Partnership in year 1. At the time of the contribution, the basis in the property was $78,000, and its fair market value was $88,000. In year 3, AAA distributed that property to partner Adelyn. At the time of the distribution, the fair market value of the property was $88,000. Based on these facts: a. Adelyn has a zero basis in the property. b. Adelyn has a recognized gain of $10,000. c. Amy reduces the basis in the partnership by $10,000. d. Adelyn decreases the basis in the partnership by $88,000. e. Amy has a recognized gain of $10,000