Transfers to Controlled Corporations: Fundamentals. During the year, A and B formed a new corporation. Each received 100 shares of stock for contributing the following assets:

a. Compute the gain or loss realized and recognized by A and B.

b. Compute the basis of the stock received by A and B.

c. Compute the gain or loss recognized by the corporation.

d. Compute the bases of the assets received by the corporation.

Transferor's Basis Fair Market Transferor Property Transferred Value Cash $100,000 $100,000 Land and building 20,000 70,000 Equipment 40,000 30,000