fock. Immediately after the exchange, M\&W had 7,800 shares of outstanding stock. Determine Mrs. Brinkley's realized and recognized gain on exchange and the tax basis in her 4,200 M\&W shares. $228,500 gain realized and recognized; $340,200 basis in MEW stares $228,500 gain realized and recognized; $111,700 basis in M\&W shares 228,500 gain realized and no gain recognized; $111,700 basis in M\&W shares