Question 33 (1 point) Listen Oregon Salsa Corporation (OSC) had current and accumulated E&P of $530,000 at December 31, 20X1. On December 31, the company made a distribution of land to its sole shareholder, Mike Conner. The land's fair market value was $130,000 and its tax and E&P adjusted tax basis to OSC was $28,000. Mike assumed a mortgage attached to the land of $11,500. The tax consequences of the distribution to Mike in 20X1 would be: Dividend of $118,500 and an adjusted tax basis in the land of $118,500. $130,000 dividend and an adjusted tax basis in the land of $130,000. Dividend of $118,500 and an adjusted tax basis in the land of $130,000. $130,000 dividend and an adjusted tax basis in the land of $118,500.