Question: Mark is a 3 0 % partner in the DMD Partnership. On January 1 , DMD distributes $ 5 2 , 0 0 0 cash

Mark is a 30% partner in the DMD Partnership. On January 1, DMD distributes $52,000 cash to Mark in complete liquidation of his interest. DMD has only capital assets and no liabilities at the date of the distribution. Mark's basis in DMD is $74,000. What is the amount and character of Mark's gain or loss on the distribution?
Multiple Choice
$0 gain or loss
$22,000 capital gain
$22,000 ordinary income
$22,000 capital loss

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