Enter problem statement, appropriate input type, and other instructions here. Ellyn and Jon incorporate EJ, Inc on August 1, 2017 Ellyn transfers land ( a capital asset) with a fair market value of $ 80,000 and a tax basis of $20,000 in exchange for 800 shares of EJ, inc. Jon is issued 200 shares of EJ,Inc for services valued at $20,000 performed for EJ, Inc What amount of gain or income must Ellyn and Jon recognize with respect to this transaction ? O A. Neither Ellyn nor Jon must recognize gain or income B. ellyn recognizes $80,000 capital gain and Jon recognizes no ordinary income C. Ellyn recognizes no gain and Jon recognizes $20,000 of ordinary income. D. Ellyn must recognize $80,000 capital gain and Jon $20,000 of ordinary income