MWC Is a C Corporation That Uses the Accrual Method

Essay

MWC is a C corporation that uses the accrual method of accounting.MWC made an S election, effective January 1 of 2019.The following assets were owned by MWC on December 31, 2018.
$\begin{array}{lccc} &\text { Fair Market } & \\& \text { Value } & \text { Adjusted } \\ \quad\quad\quad\quad\quad\text { Asset } & \text { (FMV) } & \text { basis (AB) } \\\text { Cash } & \$ 40,000 & \$ 40,000 \\\text { Accounts receivable } & 15,000 & 15,000 \\\text { Inventory (FIFO) } & 20,000 & 25,000 \\\text { Land } & \underline{ 125,000 }& \underline{100,000} \\\text { Total } & \$ 200,000 & \$ 180,000 \\\hline\end{array}$
What is MWC's net unrealized built-in gain when it converts to an S corporation on January 1, 2019?