Justin Corporation owns 10% of Manny Corporation. Manny Corporation has ample E&P to cover any distributions made during the year. One distribution made to Igor Corporation consists of a vacant lot with an adjusted basis of $80,000 and FMV of $50,000. Determine (1) the amount of Justin Corporations taxable dividend before the DRD and (2) its basis in the property.

$80,000 and $50,000

$50,000 and $30,000

$30,000 and $80,000