Which one of the following statements is true?

a. A corporation that distributes a property dividend must reduce its E&P by the adjusted basis of the property.

b. A constructive dividend must satisfy the legal requirements of a dividend as set forth by applicable state law.

c. Constructive dividends have no effect of a distributing corporations E&P.

d. The amount of dividend income recognized by a shareholder from a property distribution is always reduced by the amount of liabilities assumed by that shareholder.

e. None of the above statements are true