QUESTION 26 During the current year, Dacey had property with an adjusted basis to him of $50,000 condemned by the state. The state paid Dacey $65,000 for the property. Dacey immediately purchased similar new property for $58,000. If Dacey elects to defer recognition of gain, what is the basis of Dacey's replacement property? O a. $50,000 O b.$66,000 Oc. $58,000 O d. $35,000