A non-depreciable capital asset with a fair market value (FMV) of $100,000 and an adjusted cost base (ACB) of $50,000 is transferred to a corporation pursuant to ITA 85(1), with the elected value being $50,000. The transferor receives cash consideration of $40,000 and shares with a legal stated capital of $60,000. ITA 85(2.1) indicates that the legal stated capital of the shares would be

A.

$10,000.

B.

$50,000.

C.

$40,000.

D.

$100,000.