A corporation sells property (basis $50,000) to its sole shareholder for $35,000, the fair market value of the property. With respect to the sale,

a. The corporation has a tax loss of $15,000.

b. The shareholder has a constructive dividend of $15,000.

c. The shareholder has a basis of $50,000 in the property.

d. The corporation does not recognize a tax loss but reduces its E&P account by $15,000.

e. None of the above statements are correct.