What is alexandra basis in the land

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In the current year, Dove Corporation (E & P of $1 million) distributes all of its property in a complete liquidation. Alexandra, a shareholder, receives land having a fair market value of $300,000. Dove Corporation had purchased the land as an investment three years ago for $375,000, and the land was distributed subject to a $270,000 liability. Alexandra took the land subject to the $270,000 liability. What is Alexandra's basis in the land?

a) $375,000.

b) $300,000.

c) $270,000.

d) $30,000.

Reference no: EM13133238

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