Samantha Owns Stock in Pigeon Corporation (Basis of $80,000) as an Investment.Pigeon

Multiple Choice

Samantha owns stock in Pigeon Corporation (basis of $80,000) as an investment.Pigeon distributes property (fair market value of $300,000; basis of $150,000) to her during the year.Pigeon has current E & P of $20,000 and accumulated E & P of $80,000 and makes no other distributions during the year.What is Samantha's capital gain on the distribution?

A) $0.
B) $80,000.
C) $120,000.
D) $150,000.
E) None of the above.