Refer to the preceding problem. For each case, determine CVF’s tax basis in the security received in the exchange.

Assume the taxable year is 2018.

Data from Prob. 19

CVF owned 2,000 shares of Jarvis nonvoting common stock with a $225,000 basis. In each of the following cases, determine CVF’s recognized gain or loss on the disposition of this stock:

a. CVF exchanged it for 1,300 shares of Jarvis voting common stock worth $387,000.

b. CVF exchanged it for U.S. long-term bonds worth $317,500.

c. CVF exchanged it for 900 shares of Newton common stock worth $280,000. This exchange was not pursuant to a corporate reorganization involving Jarvis and Newton.

d. CVF exchanged it for 900 shares of Newton common stock worth $280,000. This exchange was pursuant to a corporate reorganization involving Jarvis and Newton.