1. Nupartner purchases a one-third interest in the following three-person equal partnership for $40,000. At the time of the purchase the partnership has the following assets:

A.B F.M.V.

Accounts Receivable $ 0 $30,000

Land (capital asset) 60,000 90,000

The partnership has made no 754 election. It immediately distributes $10,000 of receivables to each of the three partners.

1. What result to Nupartner on the collection of the receivables if Nupartner makes no 732(d) election?
2. What result to Nupartner on the collection of the receivables if he makes a 732(d) election?
3. If Nupartner elects 732(d), what is his outside basis immediately after the distribution?
4. Must the partnership approve Nupartners election under 732(?
5. Will the 732(d) election have any immediate effect on the basis of Nupartners interest in the land remaining in the partnership?