Don, a one-fourth partner in Trip Partnership, withdrew from the partnership on October 3 of the current year. At the time of withdrawal, Don had a $15,000 basis in his partnership interest (including his share of partnership income and losses up to the date of withdrawal). The partnership had the following assets on October 3: Basis FMV Cash $40,000 $ 40,000 Accounts receivable 0 20,000 Building 30,000 60,000 Total $70,000 $120,000 The building was depreciated using the MACRS rules. Don will be relieved of his $5,000 share of partnership liabilities. If Don receives $25,000 cash in a liquidating distribution, what are the amount and the character of gain (loss) he must report? A. No gain or loss. B. $5,000 ordinary income; $10,000 capital gain. C. $5,000 ordinary income; $5,000 capital gain. D. $10,000 capital gain