Basira Transfers Land with a Fmv of $900,000 to a Newly

Question 56
Multiple Choice

Basira transfers land with a FMV of $900,000 to a newly formed corporation in exchange for all of the stock.The land has a basis of $500,000 and debt of $300,000.Basira's taxable gain from this transaction is: A)$500,000. B)$400,000. C)$0. D)$300,000.