36: Father owns Land with AB of 600 and FMV of 2000. Father sells land to Daughter for $1000. Question 37 options: (A) Father's gain is $400. AR = $1,000. AB = $600. 1.1001-1(e) (B) Father's gain is $700. AR = $1,000. AB = $300. Sale of one half of the property at FMV requires only half the basis against the AR. (C) Daughter's basis in the Land is $600 transferred basis from Father. 1015(a) (D) Daughter's basis in the Land is $1000 which is what she paid for the property. 1.1015-4 (E) A and D are both correct