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Indigo Corporation wants to transfer cash of $419,000 or property worth $419,000 to one of...

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Accounting

Indigo Corporation wants to transfer cash of $419,000 or property worth $419,000 to one of its shareholders, Brianna, in a redemption transaction that will be treated as a qualifying stock redemption. If Indigo distributes property, the corporation will choose between two assets that are each worth $419,000 and are no longer needed in its business: Property A (basis of $209,500) and Property B (basis of $544,700).
a. Compute Indigo's recognized gain or loss if it distributes Property A in redemption of Brianna's shares.
The distribution of Property A would result in a realized of $ to Indigo, of which & is recognized.
b. Compute Indigo's recognized gain or loss if it distributes Property B in redemption of Brianna's shares.
The distribution of Property B would result in a realized . of $ to Indigo, of which $ is recognized.
c. Compute Indigo's recognized gain or loss if it sells Property B to an unrelated party, then distributes the sale proceeds in redemption of Brianna's shares.
A sale of Property B to an unrelated party would result in a realized of $ to Indigo, of which $ is recognized.
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