BDD Partnership is a service-oriented partnership that has three equal general partners. One of them, Barry Evans, sells his interest to another partner, Dale Allen on December 31 of the current tax year, for $90,000 cash and the assumption of Barrys share of partnership liabilities. (Liabilities are shared equally by the partners.) Immediately before the sale, the partnerships cash basis balance sheet is as shown below. Assume that the capital accounts before the sale reflect the partners bases in their partnership interests, excluding liabilities. The payment exceeds the stated fair market value of the assets because of goodwill that is not recorded on the books.

a)What is the total amount realized by Barry on the sale?

b) what is the amount ordinary income which Barry must report in the sale to Dale?

c) what is the amount capital gain which Barry must report in the sale to Dale?

D) what is the basis of the partnership interest acquired by Dale in the purchase from Barry?

e) assuming that Barrys partnership interest is not sold to another partner. Instead, the partnership makes a liquidating distribution of $90,000 cash to Barry, and the remaining partners assume his share of the liabilities. What is the amount of capital gain which Barry must report in the liquidation of his partnership interest?

f) assuming that Barrys partnership interest is not sold to another partner. Instead, the partnership makes a liquidating distribution of $90,000 cash to Barry, and the remaining partners assume his share of the liabilities. What is the guaranteed payment which Barry must report in the liquidation of his partnership interest?