Donald Trump and Hillary Clinton are equal partners. Donald Trump is the general partner and Hillary Clinton is the limited partner. On January 1, 2016, each had an adjusted basis in the Politics Partnership of $325,000. During 2016, the partnership borrowed $40,000 on a recourse basis. In 2016, the partnership had an operating loss of $675,000.

a) What is the basis of each partner's interest at the end of 2016?

b) What is the loss allocable to each partner?