Simone transferred 100 percent of her stock in Purple Company to Plum Corporation in a Type A merger. In exchange, she received stock in Plum with a falr market value of $700.000 plus $700,000 in cash. Simone's tax basis in the Purple stock was $261.000. What amount of gain does Simone recognize in the exchange and what is her basis in the Plum stock she receives? Multiple Choice $100.000 gain recognized and basin Plan stock of $400.000 $1539.000 gan record and bums of $700.000 S700.000 dandi um stock of $700.000 1700.000 grande basis of 52100