Fundamentals of Taxation 2011 4th Edition by Ana Cruz, Debra Prendergast, Dan Schisler, Michael Deschamps

Exercise 24

Calvin purchased a 40% partnership interest for $43,000 in February 2007. His share of partnership income in 2007 was $22,000, in 2008 was $25,000, and in 2009 was $12,000. He made no additional contributions to, or withdrawals from, the partnership. On December 18, 2009, Calvin sold his partnership interest for $103,000. What is his gain or loss on the sale of his partnership interest?