Mr. A transferred equipment with an adjusted basis of $10,000 and a fair market value (FMV) of $27,500 to Corporation Z in an exchange for 90% of Zs stock and $5,000 in cash. At the time of transfer, the stock had a FMV of $22,500. What is the amount of gain recognized by Mr. A? What if Mr. A have an exchange for only 50% of Zs stock?