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A, B and C own stock of Randall Corporation (E & P $1,000,0000) as follows: A owns 400 shares, B owns 500 shares and C

A, B and C own stock of Randall Corporation (E & P $1,000,0000) as follows: A owns 400 shares, B owns 500 shares and C owns 1200 shares. Randall redeems 200 shares of C for $250,000. C paid $2 per share. What is the effect of redemption on C.

Same as above except Randall redeems 1150 shares for 400,000

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