Flag Nick and Danielle decided to liquidate their jointly owned corporation, Dannick Corporation. After liquidating its remaining inventory and paying off its remaining liabilities, Dannick owned cash of $400,000; equipment with a basis of $200,000 and a fair market value of $400,000; and a building with a basis of $300,000 and a fair market value of $200,000. Under the terms of the agreement, Nick will receive the $400,000 cash in exchange for his 40 percent interest in Dannick. Nicks basis in his Dannick stock is $100,000. Danielle will receive the equipment and building in exchange for her 60 percent interest in Dannick. Her basis in her Dannick stock is $200,000. What amount of NET gain or loss will Danick recognize in the complete liquidation? a. $100,000 loss. b. zero. c. $200,000 gain. d. none of the above. Nick and Danielle decided to liquidate their jointly owned corporation, Dannick Corporation. After liquidating its remaining inventory and paying off its remaining liabilities, Dannick owned cash of $400,000; equipment with a basis of $200,000 and a fair market value of $400,000; and a building with a basis of $300,000 and a fair market value of $200,000. Under the terms of the agreement, Nick will receive the $400,000 cash in exchange for his 40 percent interest in Dannick. Nicks basis in his Dannick stock is $100,000. Danielle will receive the equipment and building in exchange for her 60 percent interest in Dannick. Her basis in her Dannick stock is $200,000. What amount of gain will Nick recognize in the complete liquidation? a. $100,000. b. zero. c. $300,000. d. $200,000. e. none of the above. Nick and Danielle decided to liquidate their jointly owned corporation, Dannick Corporation. After liquidating its remaining inventory and paying off its remaining liabilities, Dannick owned cash of $400,000; equipment with a basis of $200,000 and a fair market value of $400,000; and a building with a basis of $300,000 and a fair market value of $200,000. Under the terms of the agreement, Nick will receive the $400,000 cash in exchange for his 40 percent interest in Dannick. Nicks basis in his Dannick stock is $100,000. Danielle will receive the equipment and building in exchange for her 60 percent interest in Dannick. Her basis in her Dannick stock is $200,000. What amount of gain will Danielle recognize in the complete liquidation? a. $100,000 gain. b. zero. c. $300,000 gain. d. $400,000 gain. e. none of the above. Nick and Danielle decided to liquidate their jointly owned corporation, Dannick Corporation. After liquidating its remaining inventory and paying off its remaining liabilities, Dannick owned cash of $400,000; equipment with a basis of $200,000 and a fair market value of $400,000; and a building with a basis of $300,000 and a fair market value of $200,000. Under the terms of the agreement, Nick will receive the $400,000 cash in exchange for his 40 percent interest in Dannick. Nicks basis in his Dannick stock is $100,000. Danielle will receive the equipment and building in exchange for her 60 percent interest in Dannick. Her basis in her Dannick stock is $200,000. What is Danielles basis in the building after the liquidation? a. $100,000. b. $200,000. c. $300,000. d. $400,000. e. none of the above.