Page 5 of6 24. Russ has an outside basis of $60,000 in Pink Partnership as of December 31 of the current year. On that date the partnership liquidates and distributes to Russ a proportionate distribution of $25,000 cash and inventory with inside basis to the partnership of $10,000 and FMV of $25,000. How much gain or loss will Russ recognize on the distribution? A. $25,000 loss B. $10,000 capital gain C. $35,000 loss D. $50,000 capital gain