Beau and his brother, Jeff, exchanged rental properties in July 2018. Jeff sold the property he received in the exchange on February 28, 2020. What is the consequence to both brothers?

a. Beau and Jeff met the holding period and have a nontaxable exchange.

b. Jeff did not meet the holding period. Beau and Jeff must recognize any gain or loss on the exchange.

c. Beau met the holding period and has a nontaxable exchange. Jeff did not meet the holding period and must recognize any gain or loss on the exchange.

d. Beau did not meet the holding period and must recognize any gain or loss on the exchange. Jeff met the holding period and has a nontaxable exchange.