Five shareholders each contribute $$10,000$ in exchange for a $200$ interest in corporate stock of FIU Corporation. Fifteen years later, FIU Corp. enters into a plan of complete Kiguidation. Under the plan, FIU Corporation distributes assets with a basis of $$50\mathrm{.}000$ and a FMV of $$30,000.$ As such, each shareholder recelves a pro rata share or $$6,000$ of the assets upon liquidation. FIU Corp, has $$125,000$ of EEP.

What are the tax consequences to the shareholders of FIU Corporation?

Since each tharcholder owns $20\%$ of the stock, each recelves $$6,000$ out of the total $$30\mathrm{.}000$ in diserbuted avets.

Fach wift report a $$4,000$ capital gain.

The thareholders each will take a $$6,000$ carryover basih in the assets recelved

AII of the shove

None of the above.