Consider the following situations. (Click the icon to review each of the situations.) Read the requirement. (Round your answers to the nearest whole dollar. If a shareholder does not have a basis in the property stated, leave the box empty; do not enter a zero. For the type of change necessary, make sure to select an answer for each scenario.) Situation a. Best Corporation distributes land having a $200,000 FMV and a $90,000 adjusted basis to Tanya, its sole shareholder. The land, a capital asset, is subject to a $40,000 mortgage, which Tanya assumes. (Click the icon to view the possible changes necessary to improve the tax consequences.) Shareholder's Change necessary Gain or loss recognized Shareholder Property Amount Character basis for to improve the property received tax consequences a. Tanya Land Requirement What are the amount and character of the gain or loss recognized by the distributing corporation when making liquidating distributions in the situations? What is the shareholder's basis for the property received? In any situation where a loss is disallowed, indicate what changes would be necessary to improve the tax consequences of the transaction. Print Done