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Accounting Assignment | Custom Assignment Help

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October 4th, 2019

In a distribution, T, a one-third partner, receives $6,000 In cash and capital assets of $9,000. The total assets of the partnership consist of cash of $9,000 and capital assets of $36,000. Which of the following statements is true regarding partner T if the basis in T’s partnership interest is $14,000?

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T has received a disportionate distribution.

T must report a capital gain of $1,000.

T must report an ordinary loss of $1,000.

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