William's basis in the WAM Partnership interest was $100,000 just before he received a proportionate liquidating distribution consisting of investment land (basis of $30,000,fair market value $40,000),and inventory (basis of $30,000,fair market value $70,000).After the distribution,William's recognized gain or loss and his basis in the land and inventory are:
A)$40,000 loss;$30,000 (land);$30,000 (inventory).
B)$10,000 gain;$40,000 (land);$70,000 (inventory).
C)$0 gain or loss;$30,000 (land);$70,000 (inventory).
D)$0 gain or loss;$70,000 (land);$30,000 (inventory).
E)None of the above.

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The Answer of William's basis in the WAM Partnership interest was $100,000 just before he received a proportionate liquidating distribution consisting of investment land (basis of $30,000,fair market value $40,000),and inventory (basis of $30,000,fair market value $70,000).After the distribution,William's recognized gain or loss and his basis in the land and inventory are:
A)$40,000 loss;$30,000 (land);$30,000 (inventory).
B)$10,000 gain;$40,000 (land);$70,000 (inventory).
C)$0 gain or loss;$30,000 (land);$70,000 (inventory).
D)$0 gain or loss;$70,000 (land);$30,000 (inventory).
E)None of the above.

William's Basis in the WAM Partnership Interest Was $100,000 Just