Paul and Wayne equally own PW Partnership. Paul's basis was $30,000 and Wayne's basis was $22,000 at the beginning of the year. PW Partnership had the following income and expense items:

Sales	$ 330,000
Cost of goods sold	220,000
Guaranteed payment to Paul	40,000
Rent expense	24,000
Depreciation	33,000
Interest expense	4,000
Tax-exempt income	3,000
Health insurance premiums for Paul	3,600
Health insurance premiums for Wayne	3,600

PW Partnership's non-financial information is as follows:

• Name: PW Partnership
• Address: 5 Furniture Street, Anywhere, NC 28777
• EIN: 56-1234567
• Date Partnership Began: 01/01/10
• Business Code: 442110
• Principal Business Activity: Retail
• Principal Product or Service: Furniture
• Follows the Cash Method of Accounting

Chapter 14, TRP 14-1 Part c

c. Calculate Waynes basis in his partnership interest.