Peach Tree Corp. has accumulated earnings and profits $($E&P$)$ of $$70,000$ and no current E&P for the current year. On December $31$st Peach Tree Corp. distributes to Grape, its sole shareholder a parcel of land with a basis of $$65,000$ and a fair market value of $$50,000.$ Grape$$s basis in the stock is $$25,000.$ Grape plans on growing fruit trees on this land.

What portion of the distribution to Grape will be treated as a dividend? Note: do not adjust earnings and profits for the tax effect of any gains or losses due to the distribution.

Group of answer choices

$$50,000$

$$65,000$

$$15,000$

$$25,000$