12. Pedro transfers land having a $45,000 adjusted basis, a $75,000 FMV, and $12,000 cash to Neha Corporation in exchange for 100% of Neha's stock. The corporation assumes the $65,000 mortgage on the land. Which of the following statements is correct? A) Pedro recognizes no gain and the stock basis is $45,000. B) Pedro recognizes a $8,000 gain and the stock basis is $45,000. C) Pedro recognizes no gain and the stock basis is $45,000. D) Pedro recognizes a $8,000 gain and the stock basis is zero.