Sarah is a 50% partner in the sf partnership and has an outside basis of $56,000 at the end of the year prior to any distributions. on december 31, sarah receives a proportionate operating distribution of $20,000 cash. what is the amount and character of sarah's recognized gain or loss and what is her basis in her partnership interest?
a) $0 gain, $36,000 basis.
b) $20,000 ordinary income, $56,000 basis.
c) $0 gain, $56,000 basis.
d) $20,000 ordinary income, $36,000 basis.

Jeanie had always been interested in how individuals and businesses effectively allocate their resources in order to accomplish personal and organizational goals. that’s why she majored in economics and took on an entry-level position at an accounting firm. she is very interested in further advancing her career by looking into a specialization that builds upon her academic background, and her interest in deepening her understanding of how companies adjust their operating results to incorporate the economic impacts of their practices on internal and external stakeholders. which specialization could jeanie follow to get the best of both worlds? jeanie should chose to get the best of both worlds.