William and Joan form a partnership with William having a 30 percent interest and Joan the remaining 70 percent. Joan contributed $80,000 cash and services valued at $4,000. William contributed $6,000 cash and property valued at $30,000 that has a basis of $20,000. At the end of the year, the partnership reports the following:

Ordinary income (before guaranteed payments) ..............................................$90,000
Tax-exempt bond interest .........................................................................................2,000
Capital loss ..................................................................................................................4,000
Guaranteed payment to Joan .................................................................................30,000
Cash distribution to Joan .........................................................................................25,000
New 3-year note on land .........................................................................................15,000
What is William’s basis in his partnership interest at year-end?
a. $43,400
b. $45,800
c. $47,900
d. $45,900