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Kole owns a warehouse used in his business which has an adjusted basis of $240,000 and is subject to a mortgage with an $80,000 principal

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Kole owns a warehouse used in his business which has an adjusted basis of $240,000 and is subject to a mortgage with an $80,000 principal balance. Kole exchanges the warehouse for land worth $320,000. In addition, he receives cash of $40,000. What is Kole's realized gain? OA. $190,000 B. $200,000 OC. $80,000 D. $120,000

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