F Corporation Has 100 Shares of Outstanding Stock, All Owned

F Corporation has 100 shares of outstanding stock, all owned by J.J bought the shares 10 years ago for $20,000, or $200 per share.During the year, the corporation redeemed 10 shares of J's stock for $30,000.Which of the following is true?

A) J must report a capital gain of $28,000.
B) J must report a capital gain of $10,000.
C) J must report dividend income of $28,000.
D) J must report dividend income of $30,000.