Turquoise Realty comapny owns an apartnment house that has an adjusted basis of $760,000 but is subject to a mortage of $192,000. Trquoise transfers the apartnment house to Dove, inc., and receives $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 $192,000 mortage on the apartnment house.
A. What is Turquoise's realized gain or loss?
B. What is its recognized gain or loss?
C. What is the basis of the newly acquired of the office building?