P. C:7-38; Example C:7-26. C:7-88. On July 1, in connection with a recapitalization of Yorktown Corporation, Robert Moore exchanges 1,000 shares of Yorktown preferred stock which cost him $95,000 for 1,000 shares of Yorktown common stock worth $108,000 and bonds having a principal amount of $10,000 and a FMV of $10,500. What is the amount of Moore”s realized and recognized gain?
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