Rollie exchanges a parking lot used in his business for a tract of land worth $20,000 and

Question:

Rollie exchanges a parking lot used in his business for a tract of land worth $20,000 and $4,000 in cash. He plans to subdivide and sell the land as residential lots. The adjusted basis of the parking lot is $30,000.
Identify the tax issue(s) posed by the facts presented. Determine the possible tax consequences of each issue that you identify.