Baden Corporation Owned 20,000 Shares of Terney Corporation's $5 Par

Baden Corporation owned 20,000 shares of Terney Corporation's $5 par value common stock. These shares were purchased in 2004 for $180,000. On September 15, 2008, Baden declared a property dividend of one share of Terney for every ten shares of Baden held by a stockholder. On that date, when the market price of Terney was $14 per share, there were 180,000 shares of Baden outstanding. What NET reduction in retained earnings would result from this property dividend?

A) $90,000
B) $252,000
C) $72,000
D) $162,000