Anthony's basis in the WAM Partnership interest was $200,000 Just before he received a proportionate liquidating distribution consisting of investment land (basis of $90,000, fair market value of $100,000), and inventory (basis of $30,000, fair market value of $70,000). After the distribution, Anthony's recognized gain or loss and his basis in the land and inventory are: Oa. 570.000 loss $100.000 (land)i $30,000 (imventory). Ob. s80.000 losn $90.000 (land): $30.000 (inventory). Oc. so gain or loss: $170.000 (land): $30.000 (imventory). Od. $30.000 loss: $100,000 (land)i $70,000 (inventory).

Anthony's basis in the WAM Partnership interest was $200,000 Just before he received a proportionate liquidating distribution consisting of investment land (basis of $90,000, fair market value of $100,000), and inventory (basis of $30,000, fair market value of $70,000). After the distribution, Anthony's recognized gain or loss and his basis in the land and inventory are: Oa. 570.000 loss $100.000 (land)i $30,000 (imventory). Ob. s80.000 losn $90.000 (land): $30.000 (inventory). Oc. so gain or loss: $170.000 (land): $30.000 (imventory). Od. $30.000 loss: $100,000 (land)i $70,000 (inventory).

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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