Ramon and Sophie are the sole shareholders of Gull Corporation. Ramon and Sophie each have a basis of $100,000 in their 2,000 shares of Gull common stock. When its E \& P was $700,000, Gull Corporation issued a preferred stock dividend on the common shares of Ramon and Sophie, giving each 1,000 shares of preferred stock with a par value of $100 per share. At the time of the stock dividend, fair market value of one share of common stock was $150 and fair market value of one share of preferred stock was $75. If an amount is zero, enter "0". a. What are the tax consequences of the distribution to Ramon and Sophie? Ramon and Sophie have in the amount of $ What is the basis for the common stock and preferred stock for each shareholder? Common stock: $ Preferred stock: $ b. What are the tax consequences to Ramon if he later sells his preferred stock to Anthony for $75,000 ? Anthony is not related to Ramon. A sale of the preferred stock to Anthony will produce $ of income