Randy and Audra formed a corporation to which Randy transferred equipment that had a fair market value of $$25,000$ and zero adjusted basis. Audra transferred a building that had a fair market value of $$100,000$ and an adjusted basis to her of $$80,000.$ In return, Randy received $200$ shares and Audra received $800$ shares of the corporation$$s outstanding shares of its only class of stock. As a result of this transaction, Audra should report

A$.$

Neither a gain nor a loss.

B$.$

A Sec. $1250$ gain of $$20,000.$

C$.$

An ordinary gain of $$20,000.$

D$.$

A capital gain of $$20,000.$