Celeste Transferred 100 Percent of Her Stock in Supply Chain

Celeste transferred 100 percent of her stock in Supply Chain Company to Marketing Corporation in a Type A merger. In exchange, she received stock in Marketing with a fair market value of $574,500 plus $574,500 in cash. Celeste's tax basis in the Supply Chain stock was $1,410,000. What amount of loss does Celeste recognize in the exchange and what is her basis in the Marketing stock she receives?

A) $261,000 loss recognized and a basis in Marketing stock of $1,410,000
B) No loss recognized and a basis in Marketing stock of $1,410,000
C) $261,000 loss recognized and a basis in Marketing stock of $835,500
D) No loss recognized and a basis in Marketing stock of $835,500