Lindsey Exchanges Investment Real Estate Parcels with Donna

Lindsey exchanges investment real estate parcels with Donna. Lindsay's adjusted basis in the property is $400,000, and it is encumbered by a mortgage liability of $200,000. Donna assumes the mortgage. Donna's property is appraised at $1,000,000 and is subject to a $100,000 liability. Lindsey assumes the liability. If no cash is exchanged, what is Lindsey's basis in the new real estate?

A) $- 0 -
B) $100,000
C) $200,000
D) $400,000
E) $600,000