Homewood Corporation Adopts a Plan of Liquidation on June 15

Homewood Corporation adopts a plan of liquidation on June 15 and shortly thereafter sells a parcel of land on which it realizes a $50,000 gain (excluding the effects of a $5,000 sales commission) .Homewood pays its legal counsel $2,000 to draft the plan of liquidation.The accountant fees for the liquidation are $1,000,which are also paid during the year.What is Homewood Corporation's realized gain on the sale of land and deductible liquidation expenses?

A) $$\begin{array} { | l | l | } \hline \text { Gain } & \begin{array} { l } \text { Liquidation } \\\text { Expenses }\end{array} \\\hline \$ 45,000 & \$ 3,000 \\\hline\end{array}$$
B) $$\begin{array} { | l | l | } \hline \text { Gain } & \begin{array} { l } \text { Liquidation } \\\text { Expenses }\end{array} \\\hline \$ 50,000 & \$ 2,000 \\\hline\end{array}$$
C) $$\begin{array} { | l | l | } \hline \text { Gain } & \begin{array} { l } \text { Liquidation } \\\text { Expenses }\end{array} \\\hline \$ 55,000 & \$ 3,000 \\\hline\end{array}$$
D) $$\begin{array} { | l | l | } \hline \text { Gain } & \begin{array} { l } \text { Liquidation } \\\text { Expenses }\end{array} \\\hline \$ 50,000 & \$ 1,000 \\\hline\end{array}$$