Travis and Alix Weber are equal partners in the Tralix Partnership, which does not have a 754 election in place. Alix sells one-half of her interest (25 percent) to Michael Tomei for $34,000 cash. Just before the sale, Alixs basis in her entire partnership interest is $79,800, including her $34,000 share of the partnership liabilities. Tralixs assets on the sale date are as follows: Tax Basis FMV Cash $ 43,600 $ 43,600 Inventory 34,000 106,000 Land held for investment 82,000 51,600 Totals $ 159,600 $ 201,200

a. What is the amount and character of Alixs recognized gain or loss on the sale? $18,000 of ordinary income and $6,900 of capital loss $6,900 of capital loss, $6,900 of ordinary income $6,900 of ordinary income and $18,000 of capital loss $22,200 of capital loss, $9,000 of ordinary income Neither gain nor loss recognized

What is Alixs basis in her remaining partnership interest?

What is Michaels basis in his partnership interest?

Does the sale on partnership's basis have any effect in the assets? Yes or No