Atiqa Receives a Nonliquidating Distribution of Land from Her Partnership $$\begin{array} {| l | l | } \hline \text { Land } & \text { Partnership Interest } \\\hline \$ 28,000 & \$ 9,000\\\hline\end{array}$$

question 94

Multiple Choice

Atiqa receives a nonliquidating distribution of land from her partnership.The partnership purchased the land five years ago for $20,000.At the time of the distribution,it is worth $28,000.Prior to the distribution,Atiqa's basis in her partnership interest is $37,000.Atiqa's basis in the distributed land and her post-distribution basis in her partnership interest are

• A) \[\begin{array} {| l | l | }
• \hline \text { Land } & \text { Partnership Interest } \\
• \hline \$ 28,000 & \$ 9,000\\\hline
• \end{array}\]
• B) \[\begin{array} {| l | l | }
• \hline \text { Land } & \text { Partnership Interest } \\
• \hline \$ 28,000 & \$ 17,000\\\hline
• \end{array}\]
• C) \[\begin{array} { | l | l | }
• \hline \text { Land } & \text { Partnership Interest } \\
• \hline \$ 20,000 & \$ 9,000 \\
• \hline
• \end{array}\]
• D) \[\begin{array} { | l | l | }
• \hline \text { Land } & \text { Partnership Interest } \\
• \hline \$ 20,000 & \$ 17,000 \\
• \hline
• \end{array}\]