Michelle Summers originally contributed $175,000 in cash for a one-fourth interest in the Gilbert LLC. During the several years that Michelle was a member of the LLC, her share of the LLC's income was $90,000 and she withdrew $75,000 cash. The LLC's liabilities are $80,000. The LLC has $40,000 of hot assets. Michelle sells her LLC interest to Thomas for $225,000 cash, with Thomas also assuming Michelle's share of the LLC's liabilities. 1. How much is Michelle's gain on the sale, and what is its character? Show me how you came up with the answer. 2. How much is Thomas's adjusted basis for his LLC interest? 5 pts. ABC