S Corporation

Alejandro is a member of a partnership and has a basis of $50,000. In a liquidating distribution, he receives cash of $15,000 and unrealized receivables of $30,000. Alejandro takes a zero basis in the unrealized receivables. What capital loss will Alejandro recognize on the liquidation? Note the amount and explain, in language a business person who is not an accountant would understand, why this is the case.

No hard coding of solutions.

4 pages, APA format, include introduction and conclusion, 3 references