In each of the following four independent liquidating distributions scenarios, the partnership also liquidates.

For each, determine the amount and character of any gain or loss to be recognized by each partner and the basis of each asset (other than cash) received.

Assume for all scenarios that the distributions of hot assets are proportionate to the partners.

If there is no gain or loss or if an amount is zero, enter "0".

a.Landon has a partnership basis of $40,000 and receives a distribution of $50,000 in cash.

He will recognize _____ of $_____.

b.Mark has a partnership basis of $50,000. He receives $20,000 cash and a capital asset with a basis to the partnership of $25,000 and a fair market value of $40,000.

He will recognize _____ of $_____. His basis in the capital asset is $_____.

c.Neil has a partnership basis of $100,000. He receives $40,000 cash, inventory with a basis to the partnership of $30,000, and a capital asset with a partnership basis of $20,000. The inventory and capital asset have fair market values of $20,000 and $30,000, respectively.

He will recognize _____ of $_____. The capital asset is allocated a basis of $_____ and the inventory will have a basis of $._____

d.Oscar has a partnership basis of $40,000. He receives a distribution of $10,000 cash and an account receivable with a basis of $0 to the partnership (value is $15,000).

He will recognize a _____ of $_____.