XYZ Corporation had $100,000 in earnings and profits prior to any distributions. XYZ Corporation made a nonliquidating distribution to its sole shareholder of $30,000 in cash plus real property that had a fair market value of $80,000 and a basis of $60,000. How much was the total dividend income received by the shareholder as a result of the distributions made by XYZ Corporation and what is the shareholder's basis in the real property received in the distribution?
a. $80,000 dividend; basis of $60,000.
b. $80,000 dividend; basis of $60,000.
c. $100,000 dividend; basis of $80,000.
d. $110,000 dividend; basis of $60,000.
e. $100,000 dividend; basis of 110,000.