James purchases a 25% ownership in Lotsa Corporation, and calendar-year S corporation.When he purchases the stock, he pays $100,000, although the value on the books of the assets of the corporation is $120,000.On December 31, 20x1, his share of distributable income is $20,000, and $15,000 is distributed to him.(The distribution was not of "hot assets" and the corporation had no prior existence as a C corporation with earnings and profits.)What is James' basis in Lotsa on January 1, 20x2?