Garner is a $25$ percent partner in Classic General Partnership. On February $3,$ Garner's tax basis in

Classic was $$10,000$ when she received a non$-$liquidating distribution of $$5,000$ cash. Classic had

no unrealized receivables, appreciated inventory, or properties that had been contributed by its

partners. Classic reported the following for the same year:

U$.$S$.$ Treasury interest

$$30,000$

Ordinary business income $$120,000$

What amount of income from Classic should Garner include in her gross income for that year?

a$.$ $$30,000$

b$.$ $$7,500$

c$.$ $$42,500$

d$.$ $$37,500$