7. Willow Corporation exchanged land valued at $250,000 (adjusted basis = $175,000) for a building owned by Tree Corporation valued at $350,000 (adjusted basis = $200,000) and $50,000 cash. In addition, Willow assumed the $150,000 mortgage on Trees building. What are Willow and Trees realized gains or losses on the properties exchanged, respectively? (Points : 5) 1. $75,000, 0 2. $75,000, $150,000 3. $225,000, $150,000 4. $225,000, $200,000 5. None of the above