James transfers property with a basis of $12,000 and a fair…

James transfers property with a basis of $12,000 and a fair market value of $17,800 to Garfield Corporation in exchange for stock with a fair market value of $12,000 and $3,920 in cash. Garfield Corporation assumed a liability of $1,880 on the property transferred. Assume the transaction qualifies for §351. What is Garfield Corporation’s basis in the property received in the exchange?