In Complete Liquidation PW Distributes the Cash to Pamela and the Unrealized

In complete liquidation PW distributes the cash to Pamela and the unrealized receivables to Wade(equal partners) . Pamela and Wade each have an outside basis in PW equal to $5,000. PWhas no liabilities at the time of the liquidation. What is the amount and character ofPamela's recognized gain or loss?

A) $0.
B) $2,500 capital gain and $2,500 ordinary income.
C) $5,000 ordinary income.
D) $5,000 capital gain.