The Following Information Pertains to the Transfer of Real Estate

The following information pertains to the transfer of real estate in regards to a troubled debt restructuring by MSG Co. to Beta Co. in full settlement of MSG's liability to Beta: What amount should Beta report as a gain or (loss) on restructuring?

A) $100,000 ordinary loss.
B) $100,000 extraordinary loss.
C) $125,000 ordinary loss.
D) $125,000 extraordinary loss.