PROBLEM 1-30 Points Using the number on the table below determine the tax treatment to the partner who distribution indicated, and then assuming the partnership has made a Section 754 election, Getermie the Section 734 adjustment, if any. If there is none write "None" or "N/A If there is an adjustment and is it positive then write the amount of the adjustment without brackets. if the negative write the THE ADJUSTMENT. receives the adjustment is amount in brackets. IF TWO ADJUSTMENTS OCCUR, WRITE THE TOTAL AMOUNT OF EXAMPLE-Positive 8,000 adjustment.8,000 In EACH case the basis of the partner's interest is $150,000 before the distribution. The distribution consists of cash, a capital asset, and inventory as shown. If a column is blank then that type of asset was not distributed. The column for "Liquidating indicates whether the distribution liquidated the partner's interest or not Cash Received Basis of Capital Asset Basis of Inventory Liquidating? A 30,000 B 30,000 C 100,000 D 100,000 None Distributed No None Distributed Yes No Yes No 60,000 60,000 70,000 70,000 60,000 60,000 None Distributed None Distributed E 180,000 60,000 60,000 Yes F 180,000 COMPLETE THIS TABLE (20 POINTS-1 POINT EACH) Partner Gain/kLoss> Basis Cash Basis Capital Asset Basis Inventory Section 734 Adjustment PROBLEM 1-30 Points Using the number on the table below determine the tax treatment to the partner who distribution indicated, and then assuming the partnership has made a Section 754 election, Getermie the Section 734 adjustment, if any. If there is none write "None" or "N/A If there is an adjustment and is it positive then write the amount of the adjustment without brackets. if the negative write the THE ADJUSTMENT. receives the adjustment is amount in brackets. IF TWO ADJUSTMENTS OCCUR, WRITE THE TOTAL AMOUNT OF EXAMPLE-Positive 8,000 adjustment.8,000 In EACH case the basis of the partner's interest is $150,000 before the distribution. The distribution consists of cash, a capital asset, and inventory as shown. If a column is blank then that type of asset was not distributed. The column for "Liquidating indicates whether the distribution liquidated the partner's interest or not Cash Received Basis of Capital Asset Basis of Inventory Liquidating? A 30,000 B 30,000 C 100,000 D 100,000 None Distributed No None Distributed Yes No Yes No 60,000 60,000 70,000 70,000 60,000 60,000 None Distributed None Distributed E 180,000 60,000 60,000 Yes F 180,000 COMPLETE THIS TABLE (20 POINTS-1 POINT EACH) Partner Gain/kLoss> Basis Cash Basis Capital Asset Basis Inventory Section 734 Adjustment