A, B, C and D all individuals form Deli Corporation by transferring the following: A: Cash $30,000 and equipment with value of $50,000 with a basis to A of $30,000. Individual A receives 40% of the stock worth $80,000. B: Land with value of $60,000 with a basis to B of $50,000 and a mortgage of $30,000 to be assumed by Deli Corporation. B receives 15% of the stock worth $30,000. C: Building with value of $50,000 with a basis to C of $45,000. C receives of 25% the stock worth $40,000 plus $10,000 in cash. D: Transfers personal services of $40,000 and receives 20% of the stock worth $40,000. 3. How much gain or loss is recognized by B? a. -O- b. $10,000 gain C. $20,000 gain d. $30,000 gain 4. What basis will Deli Corporation have in the land? a. -O- b. $30,000 C. $50,000 d. $60,000 A, B, C and D all individuals form Deli Corporation by transferring the following: A: Cash $30,000 and equipment with value of $50,000 with a basis to A of $30,000. Individual A receives 40% of the stock worth $80,000. B: Land with value of $60,000 with a basis to B of $50,000 and a mortgage of $30,000 to be assumed by Deli Corporation. B receives 15% of the stock worth $30,000. C: Building with value of $50,000 with a basis to C of $45,000. C receives of 25% the stock worth $40,000 plus $10,000 in cash. D: Transfers personal services of $40,000 and receives 20% of the stock worth $40,000. 3. How much gain or loss is recognized by B? a. -O- b. $10,000 gain C. $20,000 gain d. $30,000 gain 4. What basis will Deli Corporation have in the land? a. -O- b. $30,000 C. $50,000 d. $60,000