Katrina is a one$-$third partner in the KYR partnership $($calendar year$-$end$).$ Katrina decides she wants to exit the partnership and she receives the following assets in the$$liquidating$$distribution$.$ Katrina$$s basis in her partnership interest is $$280,000.$

Basis

FMV

Cash

$60,000$

$60,000$

Inventory

$50,000$

$90,000$

Machinery

$50,000$

$45,000$

Land

$40,000$

$105,000$

Totals

$200,000$

$300,000$

$$

$1-$What is Katrina's realized gain or loss on the liquidation of her partnership interest?

$2-$What is Katrina's recognized gain or loss on the liquidation of her partnership interest?

$3-$What is Katrina's basis in each of the assets?

$4-$What is Katrina's gain or loss if she sells all of the assets the next day?

$5-$How does the gain in part $4$ relate to the gain in part A$?$ Katrina is a one$-$third partner in the KYR partnership $($calendar year$-$end$).$ Katrina decides she wants to exit the partnership and she receives the following assets in the liquidating distribution. Katrina's basis in her partnership interest is $\backslash (\backslash$$ $280,000\backslash ).$

$1-$What is Katrina's realized gain or loss on the liquidation of her partnership interest?

$2-$What is Katrina's recognized gain or loss on the liquidation of her partnership interest?

$3-$What is Katrina's basis in each of the assets?

$4-$What is Katrina's gain or loss if she sells all of the assets the next day?

$5-$How does the gain in part $4$ relate to the gain in part $\backslash ($ A $\backslash )?$