Bell, LLC, a general partnership, had the following balance sheets at December 31:

Basis FMV

Cash $50,000 $50,000

Inventory 15,000 30,000

Depreciable equipment

(original cost $120,000) 40,000 100,000

Land 45,000 60,000

$150,000 $240,000

Liabilities $60,000 $60,000

Capital, April 45,000 90,000

Captial, May 30,000 60,000

Capital, June 15,000 30,000

$150,000 $240,000

On January 1, May sold her one-third interest in the partnership to an unrelated buyer for $60,000. How much ordinary income will May recognize on the sale under Code Sec. 751(a)?

a. $5,000

b. $30,000

c. $20,000

d. $25,000

e. None of the above