Could you please help me with this question Thanks

Derek has shares of UltFrisCorp that he would like to transfer, using Section 85, to a holding company that he has recentlyr setup. The ACE and PUC of his UltFrisCorp shares are 530,000. The fair market value of the shares are $1 million. Derek also has $450,000 in his lifetime capital gains exemption that he would like to use as part of this tra nsfe r. What is the elected amount that Derek should chose in order to use his lifetime capital gains exemption, and avoid paying tax on the transfer. 0 480,000 0 30,000 0 1,000,000 0 450,000