Turquoise Reality Company owns an apartment house that has an adjusted basis of $760,000 but subject to a mortgage of 190,000. Turquoise transfers the apartment house to Dove, Inc., and receives from Dove $120,000 in cash and an office building with a fair market value of $780,000 at the time of the exchange. Dove assumes the $190,000 mortgage on the apartment house. The transaction is a like-kind exchange. What is Turquoises recognized gain?

A.

$20,000

B.

$190,000

C.

$210,000

D.

$310,000

E.

$330,000