For this assignment, read the scenario below and then evaluate the impact of E&P. ABC Corporation has current E&P of ($200,000). E&P at the beginning of the year was ($100,000). ABC Corp. makes a distribution of $350,000 to its sole shareholder on the least day of the year. The shareholder had a tax basis of $50,000. Determine the following (make sure that you show all calculations): How much of the distribution is treated like a dividend to the shareholder? After the distribution takes place, what is the shareholder's tax basis in the ABC Corp. stock after the distribution? What is the balance in E&P for ABC Corp. the day after the distribution? Discuss why E&P is measured. If E&P was not measured in the scenario presented above, what are the potential problems?