Viking Corporation is owned equally by Sven and his wife Olga, each of whom hold 110 shares in the company. Viking redeemed 65 shares of Sven's stock for $1,800 per share on December 31, 20X3. Viking has total E&P of $440,000. What are the tax consequences to Viking because of the stock redemption?A reduction of $130,000 in E&P because of the exchange. No reduction in E&P because of the exchange. A reduction of $260,000 in E&P because of the exchange. A reduction of $117,000 in E&P because of the exchange.