Facts The ABC Partnership, where Partner C has a 1/3 interest, decides to make a liquidating distribution to Partner C of $60,000 in cash. Prior to the distribution, the partnership has: Cash of $50,000 Inventory with a fair market value (FMV) of $90,000 and a partnership basis of $41,000 Unrealized receivables with an FMV of $40,000 and a partnership basis of $37,000. C's outside basis in the partnership prior to the distribution is $49,000.

3. Detail any changes to C's outside basis as a result of the liquidating distribution.

	Outside basis (initial)	$
+	Increases
-	Decreases
	Outside basis (ending)	$