Karen, in forming a new corporation, transfers land to the corporation in exchange for 100 percent of the stock of the corporation. Karen's basis in the land is $1,624,000, and the corporation assumes a liability on the property in the amount of $1,786,400. The stock received by Karen has a fair market value of $3,248,000.

If an amount is zero, enter "0".

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