John 30% and Justin 70% partners in a partnership in 20X1.The partnership sold a property to Justin for $20,000 and partnership adjusted basis for the property was $50,000.During 20X3, Justin sold that property to Peter for $85,000.Which of the followingis correct?

A. None of the above

B.a & b

C.Justin would recognize $65,000 gain

D.Partnershipwould recognize $30,000 loss