Vanessa bought shares in Daugh Mutual Fund in 2018 for $120 a share. In 2019, she received a non-dividend distribution of $50 a share. She reduced her basis in each share by $50 to an adjusted basis of $70. In 2020, Vanessa received a non-dividend distribution of $10 per share and further reduced her basis in each share to $60. In 2021, she received a non-dividend distribution of $20 per share. Vanessas basis was reduced to $40. In 2022, the non-dividend distribution from the mutual fund was $50 a share. Which of the following is true regarding Vanessas basis and gain in the stock?

A. Vanessa reduces her basis in each share to zero and reports $10 of gain

B. Vanessa reduces her basis in each share to zero and reports $40 of gain

C. Vanessa reduces her basis in each share to zero and reports $50 of gain

D. Vanessa reduces her basis in each share to zero and reports $120 of gain