Ned accepted stock in his employer's company valued at $1,000 instead of his $1,000 salary payment. Which tax consequence of this transaction is true? A. No income to Ned because stock distributions are not taxable. B. This is a nontaxable exchange of property for stock. C. No salary expense for his employer because no payment of salary was made. D. Ned must recognize $1,000 income because the stock is payment for services.