Jorge contributed land he held as an investment (fair market value $194,000; basis $66,500) and inventory (fair market value $122,000; basis $118,500) to ABC Corporation in exchange for 50 percent of the ABC stock (66 shares valued at $297,000) and $19,000 cash in a qualifying $351 exchange. (Negative amounts should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable.) a-1. What amount of gain does Jorge recognize on the exchange? O Answer is complete but not entirely correct. Land Inventory Gain recognized 127,500 O $ 3,500 b. Assume the same facts except that Jorge received $19,000 of business property from ABC instead of $19,000 cash. What is the amount and character of gain Jorge would recognize on the exchange? O Answer is complete but not entirely correct. Land Inventory 24 24 Ordinary income Gain recognized 117,000 Character of the gain Capital gain c. Assume the original facts in this example except that the inventory had an adjusted basis of $132,500 so that Jorge realized a $10,500 loss on the inventory (he still realized a $127,500 gain on the land). How much gain or loss would he recognize on the exchange? Answer is complete but not entirely correct. Land Inventory Gain recognized 2$ 117,000 2$