Yu and Jian formed the X general partnership on September 4, 20X5. They agreed to split profits and losses 60% to Yu and 40% to Jian. Yu contributed $60,000 cash to the partnership. Jian contributed a capital asset with a FMV of $80,000, a basis of $20,000 and subject to a $40,000 mortgage. The contributions to the partnership were made on September 7, 20X5. Jians holding period for the property began on August 24, 20x1.

Determine the following with regard to the contributions: (1) Yus, Jians, and Xs recognized gain or loss; (2) Yu and Jians outside basis and the date their holding period began for their partnership interest; (3) Xs basis in the property received from Jian and the date its holding period for the property began.