Alice and Jane form ABC Corporation. Alice transfers property, basis of $25,000 and FMV of $190,000 for 50 shares in ABC and $10,000 in cash. Jane transfers property with a basis of $50,000 and value of$165,000 and $35,000 cash for 50 shares of ABC.

a. What gain or income must Alice or Jane recognize?

b. What is Alice and Janes basis in the stock of ABC?

c. What is ABCs basis in the property transferred?