During 2016, TP1 and TP2, a married couple (MFJ), decided to sell their residence, which had a basis of $300,000. They had owned and occupied the residence for 20 years. To make it more attractive to prospective buyers, they had the outside painted in April at a cost of $6,000 and paid for the work immediately. They sold the house in May for $900,000. Broker's commissions and other selling expenses amounted to $50,000. Since they both are age 68, they decide to rent an apartment. They purchase an annuity with the net proceeds from the sale. What is the recognized gain?

a.$0

b.$17,000

c.$550,000

d.$50,000

e.None of these