Jack Exchanged Land with an Adjusted Basis of $65,000 Subject

Multiple Choice

Jack exchanged land with an adjusted basis of $65,000 subject to a liability of $22,000 for $50,000 (FMV) of stock owned by Hayden.Hayden takes the land subject to the liability.Jack incurs $500 of selling expenses.What is the amount of Jack's realized gain on the exchange?

A) ($14,000) loss
B) ($14,500) loss
C) $6,500 gain
D) $7,000 gain