ABC Corporation distributes $30,000 to its sole shareholder, Ima. At the time of the distribution, ABC's E&P is $14,000 and Ima's basis in her stock is $10,000. Ima's gain from this transaction is a A $30,000 capital gain B $20,000 capital gain $14,000 capital gain 0 0 D $6,000 capital gain Question 17 5 Points Identify which of the following increases Earnings & Profits. A All of the above increase E&P of a corporation B a capital contribution C tax-exempt interest income life insurance proceeds payable to the spouse Question 18 5 Points Under a plan of complete liquidation, Coast Corporation distributes land with a $300,000 adjusted basis and a $400,000 FMV to William, a 25% shareholder. William has a $200,000 basis in his Coast stock. The land is inventory in the hands of Coast Corporation. Coast Corporation must recognize A $200,000 of ordinary income. B) $100,000 of long-term capital gain. C$100,000 of ordinary income. D no gain