Lara has a $$28,000$ basis in her partnership interest before receiving a current distribution of cash $$12,000$ and land with a $$35,000$ FMV and a $$10,000$ basis to the partnership. Assume that any distribution involving Sec. $751$ property is pro$$ rata, that any precontribution gains have been ra$.$ Determine Lara's recognized gain or loss, Lara's basis in distributed property,

and Lara's ending basis in her partnership interest.

b$.$ How does your answer to Part a change if the partnership's basis in the land

is $$21,000$ instead of $$10,000?$

c$.$ How does your answer to Part a change if Lara receives $$31,000$ cash

instead of $$12,000($along with the land$)?$

d$.$ How does your answer to Part a change if$,$ in addition to the cash and land,

Lara receives inventory with a $$28,000FMV$ and a $$7,000$ basis and

receivables with a $$2,500FMV$ and a zero basis?

e$.$ Suppose instead that Lara receives the distribution in Part a from a $C$

corporation instead of a partnership. The corporation has $$150,000$ of

E&P$-$earnings and profits$-$before the distribution, and Lara's stock basis

before the distribution is $$28,000.$ What are the tax consequences to Lara and

the C corporation?

f$.$ Suppose instead that Lara receives the distribution in Part a from an $S$

corporation instead of a partnership. Lara is a $50\%$ owner in the corporation,

and her stock basis before the distribution is $$28,000.$ What are the tax

consequences to Lara and the S corporation?ecognized before the$$ distribution, and that no Sec. $754$ election is in effect.