9. Which of the following statements regarding nonliquidating distributions is correct?

A. Accumulated E&P is similar to net income in financial accounting but with some adjustments.

B. Distributions can create or extend a deficit in E&P.

C. A negative CE&P in the current year can create or extend a negative E&P.

D. The distribution is a return of capital, then a dividend to the extent of the corporation's E&P, and finally gain from sale of stock. E. None of the choices are correct.