In 2019 Ryce contributes nondepreciable property with an adjusted basis of $60,000 and a fair market value of $95,000 to the Montgomery Partnership in exchange for a one-half interest in profits and capital. In the next tax year, when the property's fair market value is $100,000, the partnership distributes the property to Jarvis, the other one-half partner. Jarvis's basis in the partnership interest was $100,000 immediately before the distribution. Which partner must recognize a gain, what is the amount recognized, and what is the effect on that partner's basis in the partnership interest?Ryce must pay tax on the $ built-in gain in 2019. He increases his basis in his partnership interest by the gain recognized.