Adam is a partner in Busy Bee Bakery Partnership. Last year he received a distribution of $5,000 cash and land that had an adjusted basis of $5,000 and a fair market value of $10,000. The adjusted basis of his partnership interest at the time of the distribution was $15,000. Select the amount of gain or loss Adam should report for the partnership distribution.
a) $ 5,000
b) $ 0
c) $10,000
d) ($ 5,000)
