Jane transfers property (basis of $180,000 and fair market value of $500,000) to Green Corporation for 80% of its stock (worth $425,000) and a long-term note (worth $75,000), executed by Green Corporation and made payable to Jane. As a result of the transfer:

a. Jane recognizes a gain of $270,000.

b. Jane recognizes no gain.

c. Jane recognizes a gain of $75,000.

d. Jane recognizes a gain of $320,000.

e. None of these choices are correct.