A contributes appreciated property worth $80, with an adjusted basis of $60, to newly formed X corporation and in exchange for all of the 80 outstanding shares of X, worth $80. Immediately thereafter, A gives 20 shares to B, A's employee, in payment of accrued wages. Does § 351(a) apply to A's exchange of property for stock? How much gross income must A and B each recognize, if any, on these transactions?