Pursuant to a complete liquidation, Oriole Corporation distributes to its shareholders land with a basis of $400,000 and a fair market value of $550,000. The land is subject to a liability of $620,000. What is Orioles recognized gain or loss on the distribution?
A. $70,000 loss.
B. $70,000 gain.
C. $150,000 gain.
D. $220,000 gain.
E. None of the above.