Kase, an individual, purchased some property in Potomac, Maryland, for $150,000 approximately 10 years ago. Kase is approached by a real estate agent representing a client who would like to exchange a parcel of land in North Carolina for Kases Maryland property. Kase agrees to the exchange.

What is Kases realized gain or loss, recognized gain or loss, and basis in the North Carolina property in each of the following alternative scenarios?

a- The transaction qualifies as a like-kind exchange. The fair market value of the Maryland property is $675,000; the FMV of the North Carolina property is $600,000. The properties are exchanged and Kase received $75,000 cash to even up the exchange.

b-The transaction qualifies as a like-kind exchange. The fair market value of the Maryland property is $200,000; the FMV of the North Carolina property is $140,000; Kase received cash of $60,000 to even up the exchange.