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James will contribute the following assets to James, Inc. in return for 90% of its stock and $10,000 cash. Adjusted Basis Value Land $ 15,000 $ 30,000 Securities 30,000 30,000 How much gain will James recognize on the transfer? O $5,000 $10,000 None of the other answers is correct. O $15,000 Question 1 4.55 pts The section 1202 and 1244 stock rules encourage business formations with stock by providing tax advantages to: shareholders who sell stock at either a gain or loss shareholders who sell stock at a gain, only shareholders who sell stock at a loss, only only corporations both corporations and shareholders Question 1 4.55 pts The section 1202 and 1244 stock rules encourage business formations with stock by providing tax advantages to: shareholders who sell stock at either a gain or loss shareholders who sell stock at a gain, only shareholders who sell stock at a loss, only only corporations both corporations and shareholders may be rounded to the nearest dollar. E 1 : 49 , 4.55 For the current year, Getty Corporation has gross profits from sales of $400,000. It has deductible expenses of $200,000 (not including the dividends received and charitable deductions). Getty also received dividends of $100,000 from a U.S. corporation in which it owns 40% of the outstanding stock. Lastly, Getty made charitable contributions of $50,000. For the current year, Getty may claim a charitable contribution deduction of: $23,500 $50,000 $0 $30,000

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