Gain or loss does he recognize in liquidation

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Reference no: EM13731518

ABC Partnership distributed land with basis of $12,100 and FMV of $20,000 to Partner A in liquidation of his partnership interest. Partner A's basis in his partnership interest before the distribution was $13,700 and includes $5,000, his share of partnership liabilities. How much gain or loss does he recognize in liquidation?

a) $0

b) $3,400 gain

c) $3,400 loss

d) $6,300 gain

Reference no: EM13731518

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