Without liquidating, Country Corporation distributes equipment with a $60,000 adjusted basis and a $100,000 FMV to Carla. The equipment is subject to a $18,000 mortgage assumed by Carla. Country has $150,000 of E&P (excluding the distribution). Requirements a. How much gain (if any) does Country recognize on the distribution of the equipment? b. What distribution amount is taxable as a dividend to Carla? c. What is Carla's basis in the equipment? Requirement a. How much gain (if any) does Country recognize on the distribution of the equipment? (Enter a 0 if no gain is recognized by Country.) Gain recognized by Country Requirement b. What distribution amount is taxable as a dividend to Carla? The distribution is a taxable dividend to Carla in the amount of Requirement c. What is Carla's basis in the equipment? Carla's basis in the equipment is