For the following questions, provide an explanation of the correct answer and why the other choices are incorrect.

Jane is the sole shareholder of Buttons, Inc. Buttons have accumulated earnings and profits (E & P) of $65,000 at the beginning of the current year. The current E & P is $35,000. Buttons pay out a property distribution to Jane during the current year with an FMV of $150,000 and an adjusted basis of $130,000. How much is a taxable dividend to Jane?

a. $35,000

b. $100,000

c. $120,000

d. $150,000