in january 2007 joan hill bought one share of orban corp stock for 300 on march 1 20 624684

Items 1 and 2 are based on the following data:

In January 2007, Joan Hill bought one share of Orban Corp. stock for $300. On March 1, 2007, Orban distributed one share of preferred stock for each share of common stock held. This distribution was nontaxable. On March 1, 2007, Joan’s one share of common stock had a fair market value of $450, while the preferred stock had a fair market value of $150.

After the distribution of the preferred stock, Joan’s bases for her Orban stocks are

The holding period for the preferred stock starts in

1. January 2007.
2. March 2007.
3. September 2007.
4. December 2007.