Marinda is a one-third partner in the MWH Partnership before she receives $100,000 cash as a liquidating distribution. Immediately before Marinda receives the distribution, the partnership has the following assets:

At the time of the distribution, the partnership has $30,000 of outstanding liabilities, which the three partners share equally. Marinda€™s basis in her partnership interest before the distribution was $80,000, which includes her share of liabilities. What are the amount and character of the gain or loss recognized by Marinda and the MWH Partnership on the liquidating distribution? Assume that no Sec. 754 election is in effect.

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Assets Partnership's Basis FMV Cash $100,000 S100,000 Marketable securities 50,000 90,000 Investment land 90,000 140,000 Total $240,000 S330,000