Jill transfers real estate into X corporation with a FMV of $1.5m and a tax basis of $500,000. The real estate was held for more than one year. X corporation has 1,000 shares of common stock outstanding. It also has 100 shares of preferred stock outstanding. The preferred stock has a right of redemption. Jill receives 900 shares of common stock and all 100 of the shares of preferred stock in the exchange. The FMV of the preferred stock is $25,000. Jill's basis in her common stock is $500,000 or $555.55 per share and $25,000 for the preferred stock or $250 per share. True False