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

a$)$ How much gain should be recognized by Buttons?

b$)$ How much is a taxable dividend to Jane? $($hint: The effect of recognized gain on E&P$)$