MrAnd MsNguyen's Partnership Owns the Following Assets

question 51

Multiple Choice

Mr.and Ms.Nguyen's partnership owns the following assets. Adjusted Basis Fair Market
Mr.and Ms.Nguyen each have a basis for their partnership interest of $135,000.Calculate their combined recognized gain or loss and classify it as capital or ordinary if they sell their partnership interests for $500,000.

• A)$230,000 ordinary income.
• B)$230,000 capital gain.
• C)$115,000 ordinary income and $115,000 capital gain.
• D)$110,000 ordinary income and $120,000 capital gain.

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Definitions:

Discriminating

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