QUESTION 1 Phil and Bill each own a 50 percent interest in P&B Interests. P&B Interests has ordinary income for the year of $50,000 before guaranteed payments. If Phil receives guaranteed payments of $35,000 during the tax year, what is the total income or loss that should be reported by Phil from the partnership for this tax year? o 1,$12,500 Income 2 $15,000 3. $42,500 Income 4 $35,000 Income 5 points Save Answer QUESTION 2 An equal partnership is formed by Rita and Gerry. Rita contributes cash of S10,000 and a building with a fair market value of $130,000, adjusted basis of S40,000, and subject to a liability of $90,000. Gerry contributes cash of $100,000. What amount of gain must Rita recognize as a result of this transaction? 1.50 2 $5,000 3 $50,000