Which of the Following Statements Correctly Reflects the Rules Regarding

Which of the following statements correctly reflects the rules regarding proportionate liquidating distributions?

A) Relief of liabilities is treated as a distribution of cash and will cause recognition of gain if the cash distribution exceeds the partner's basis in the partnership interest.
B) A partner's basis in distributed unrealized receivables is the lesser of the partnership's basis in the receivables or their fair market value.
C) The basis of unrealized receivables may be stepped up to their fair market value if the partner has adequate unabsorbed basis.
D) Assets are deemed distributed in the following order: cash,unrealized receivables,capital assets,and finally inventory.
E) The partner can recognize gain,but not loss,on a proportionate liquidating distribution.