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Under Rushmore Corporation's plan of liquidation, the corporation distributes land to one of its shareholders, Borglam. The land, which is used in Rushmore's trade

Under Rushmore Corporation's plan of liquidation, the corporation distributes land to one of its shareholders, Borglam. The land, which is used in Rushmore's trade or business, has a $70,000 adjusted basis and a $260,000 FMV on the distribution date. What are the tax consequences of this distribution to Rushmore and Borglam?

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