Betty has a $112,000 basis in her partnership interest including her share of partnership liabilities, and she sells her partnership interest to Rene for $126,800 cash. Betty, Ed, and Keith are one-third partners in the BEKPartnership. The partners originally formed the partnership with cash contributions, so no partner has precontribution gains or losses. Prior to Betty's sale of her partnership interest, the partnership has the following balance sheet: 9: (Click the icon to view the balance sheet.) Read the requirements. ... Requirement a. What are the amount and character of Betty's recognized gain or loss on the sale? Amount Character Data Table Partnership's Basis FMV Requirement b. What is Rene's basis in her partnership interest? Assets: Rene's basis in her partnership interest is Cash 39,200 $ 39,200 Receivable 0 18,000 Inventory 56,000 63,200 80,000 131,000 Machinery Building ** Land 110,000 39,800 167,000 32,000 32,000 Investments*** 11,000 $ 336,000 $ 482,400 Total Liabilities and capital: Liabilities $ 102,000 $ 102,000 Partners' capital: Betty 126,800 Ed 78,000 78,000 78,000 126,800 126,800 Keith $ Total 336,000 $ 482,400 The machinery cost $125,000, and the partnership has claimed $45,000 of depreciation. ** The building cost $152,000, and the partnership has claimed $42,000 of straight-line depreciation *** The partnership has held the investments for more than one year