Karen, in forming a new corporation, transfers land to the corporation in exchange for 100 percent of the stock of the corporation. Karens basis in the land is $275,000, and the corporation assumes a liability on the property in the amount of $300,000. The stock received by Karen has a fair market value of $550,000.

a.What is the amount of gain or loss that must be recognized by Karen on this transfer?$____________

b.What is the amount of Karens basis in the corporations stock?$____________

c.What is the amount of the corporations basis in the land?$____________