86. Kathy is a partner in Wildwood Energy, a general partnership. In complete liquidation of her interest in the partnership, she received a distribution consisting of the following assets: Cash Property 1 Property 2 Basis $5,000 FMV $5,000 15,000 15,000 20,000 12,000 Kathy's tax basis in her interest is $33,000. The partnership has no debt and no hot assets. What will be Kathy's tax basis in Property I? a. $15,000 b. $32,000 c. $12,000 d. $28,000 None of these
86. Kathy is a partner in Wildwood Energy, a general partnership. In complete liquidation of her interest in the partnership, she received a distribution consisting of the following assets: Cash Property 1 Property 2 Basis $5,000 FMV $5,000 15,000 15,000 20,000 12,000 Kathy's tax basis in her interest is $33,000. The partnership has no debt and no hot assets. What will be Kathy's tax basis in Property I? a. $15,000 b. $32,000 c. $12,000 d. $28,000 None of these
Chapter11: Investor Losses
Section: Chapter Questions
Problem 49P
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Question
Transcribed Image Text:86.
Kathy is a partner in Wildwood Energy, a general partnership. In complete liquidation of
her interest in the partnership, she received a distribution consisting of the following assets:
Cash
Property 1
Property 2
Basis
$5,000
FMV
$5,000
15,000
15,000
20,000
12,000
Kathy's tax basis in her interest is $33,000. The partnership has no debt and no hot assets. What
will be Kathy's tax basis in Property I?
a.
$15,000
b.
$32,000
c.
$12,000
d.
$28,000
None of these
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