A Inc has 1,000 shares of common stock outstanding. These shares are owned by M (600 shares) and S (400 shares). A, Inc has current & accumulated eamings &e profits of $15,000,000. A, Inc faces a marginal tax rate of 21%. All 400 shares owned by S were redeemed. The redemption price paid was land (EMV-51,200,000, cost basis - 5500,000plias cash of 52.300.000 Sparid 37.000 for each share of his stock whet die acquired at five years ago. Mis the mother of S. What are the tax results of the redemption to S? $3,500,000 Dividend $700.000 Long-term Capital Gain No Gain Recognized $3,500,000 Long-term Capital Gain 22 Under a plan of complete liquidation, Key Corporation distributes land (not a disqualified property) with an adjusted basis of $410,000 and an FMV of $300,000 for all Sharon's stock. Shuaron's basis in her 5% interest in the Key stock is $250.000. Find Sharon's grin or loss and Key Corporation's recognized in or loss O Recognized Gain/Loss Recognized Gain/Loss $160,000 150 O A) Recognized Gain/Loss Recognized Gain/Loss $160,000 $110,000 loss O Recognized Gain/Loss Recognized Gain/Loss $50,000 SO Recognized Gain/Loss 550.000 Recognized Gain/Loss $110,000 loss