Zach's Partnership Interest Basis Is $80,000

question 124

True/False

Zach's partnership interest basis is $80,000.Zach receives a proportionate, liquidating distribution from a liquidating partnership of $60,000 cash and inventory having a basis of $30,000 to the partnership and a fair market value of $26,000.Zach assigns a basis of $20,000 to the inventory and recognizes no gain or loss.

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Definitions:

Compatible

A state in which two or more things are able to exist or work together in combination without problems or conflict.

Social Network

A digital platform or structure made up of individuals or organizations that are interconnected through various forms of relationships such as friendship, kinship, common interests, or beliefs.

Emotional Stability

Refers to an individual's ability to remain stable and balanced emotionally, even in stressful situations.

Extroverted

Characteristic of an individual who is outgoing, socially confident, and enjoys engaging in activities involving other people.