Wendy, Xenia, and Yancy own 40%, 8%, and 52%, respectively, of the WXY Partnership. For each of the following independent situations occurring in the current year, determine whether the WXY Partnership terminates and, if so, the date on which the termination occurs.
a. Wendy sells her entire interest to Alan on June 1. Alan sells one-half of the interest to Beth on November 15.
b. Yancy receives a series of liquidating distributions totaling $100,000. He receives four equal annual payments on January 1 of the current year and the three subsequent years.
c. Wendy and Xenia each receive a liquidating distribution on September 14.
d. Yancy sells his interest to Karen on June 1 for $10,000 cash and a $90,000 installment note. The note will be paid in monthly installments of $10,000 principal plus interest (at a rate acceptable to the IRS) beginning on July 1.
e. The WXY and ABC Partnerships combine their businesses on December 30. Ownership of the new, combined partnership is as follows: Wendy, 20%; Xenia, 4%; Yancy, 26.5%; Albert, 20%; Beth, 19.5%; and Carl, 10%.
f. On January 1, the WXY Partnership divides its business into two new businesses. The WX Partnership is owned equally by Wendy and Xenia. Yancy continues his share of the business as a sole proprietorship.