Paul, Inc. transferred Asset A to an unrelated party (through a qualified intermediary) in exchange for Asset Z and $15,750 cash. Paul's tax basis in Asset A was $400,000; Asset Z had a $510,000 appraised Fair Market Value. Which of the following statements is true?

a. If Asset A & Z are like-kind, Paul recognizes a $15,750 gain and takes a $400,000 basis in Asset Z.

b. If Asset A & Z are not like-kind; Paul recognizes a $110,000 gain and takes a $510,000 basis in Asset Z.

c. If Asset A & Z are like-kind; Paul recognizes no gain and takes a $400,000 basis in Asset Z.

d. If Asset A & Z are like-kind; Paul recognizes a $15,750 gain and takes a $415,750 basis in Asset Z.

e. None of the statements are correct