Nadine Fimple is a one-half partner in the NL Partnership with equal inside and outside bases. On January 1, NL distributes accounts receivable with a fair value of $107,000 to Nadine as an operating distribution. NL's balance sheet as of January 1 is as follows:
What is the amount and character of Nadine's recognized gain or loss on the distribution?

Question

Nadine Fimple is a one-half partner in the NL Partnership with equal inside and outside bases. On January 1, NL distributes accounts receivable with a fair value of $107,000 to Nadine as an operating distribution. NL's balance sheet as of January 1 is as follows:
  What is the amount and character of Nadine's recognized gain or loss on the distribution?

Quizplus · Accepted Answer

The Answer of Nadine Fimple is a one-half partner in the NL Partnership with equal inside and outside bases. On January 1, NL distributes accounts receivable with a fair value of $107,000 to Nadine as an operating distribution. NL's balance sheet as of January 1 is as follows:
  What is the amount and character of Nadine's recognized gain or loss on the distribution?

Nadine Fimple Is a One-Half Partner in the NL Partnership