Davison, Inc. distributes land to Carrie, a shareholder that owns $83\%$ of the corporation's outstanding stock. The land has a FMV of $$160,000$ and basis of $$120,000.$ Carrie also assumes the mortgage on the land of $$50,000$ as of the distribution date. As a result of this distribution, what will be the change in Davison Inc.$\text{'}$s E& P balance assuming it is $$300,000$ prior to the distribution? Assume a corporate tax rate of $21\%.$

Group of answer choices

$($$$128,400)$ decrease

$($$$110,000)$ decrease

$($$$78,400)$ decrease

$($$$160,000)$ decrease

$$31,600$ increase