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Indigo Corporation wants to transfer cash of $150,000 or property worth $150,000 to one of its shareholders, Brianna, in a redemption transaction that will be

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Indigo Corporation wants to transfer cash of $150,000 or property worth $150,000 to one of its shareholders, Brianna, in a redemption transaction that will be treated as a qualifying stock redemption, If Indigo distributes property, the corporation will choose between two assets that are each worth $150,000 and are no ionger needed in its business: Property A(basi5 of $75,000) and Property B (basis of $195,000) a. Compute indigo's recognized gain or loss if it distributes Property A in redemption of Brianna's shares. The distribution of Property. A would result in a realized fecoonized. of is to indigo, of which : b. Compute Indigo's recognized gain or loss if it distributes Property B in redemption of Brianna's shares, The distribution of Property. 8 would result in a tealized recognized. iof 4 to indigo, of which : c. Compute Indigo s recognired gain or loss it it sells pioperty a to an unrelated party, then distributes the sale proceeds in redemption of. Erianina's shares. A sale of Property 8 to an unrelated party would result in a realized is tecognited. to Indige, of which

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