Two years ago, Sherry, the sole shareholder of Canary Corporation $($E & P of $$600,000),$ received a nontaxable stock dividend of $100$ shares of preferred stock $($fair market value of $$100,000)$ from Canary. As a result of the stock dividend, Sherry properly allocated $$30,000$ of the common stock basis to the preferred stock. One year ago, Sherry made a gift of the preferred stock in Canary Corporation to her child, Chandler. In the current year, Chandler sells one$-$half of the shares of preferred stock to Julian, an unrelated party, for $$50,000.$ With respect to the sale of the preferred stock by Chandler:

a$.$ Chandler will recognize ordinary income of $$35,000.$

b$.$ Chandler will recognize ordinary income of $$0.$

c$.$ Chandler will recognize ordinary income of $$50,000.$

d$.$ Chandler will recognize a capital gain of $$35,000.$

e$.$ Chandler will recognize a short$-$term capital gain of $$100,000.$