Leon Owns 600 Shares of the 1,000 Outstanding Shares of Crane

Leon owns 600 shares of the 1,000 outstanding shares of Crane Corporation (E & P of $500,000) .None of the other shareholders of Crane are related to Leon.Leon acquired his Crane shares ten years ago for $90,000.Crane has operated several trades or businesses for more than five years.In the current year,Crane sells the assets of one of those trades or businesses and distributes the proceeds from the asset sale to the shareholders in a pro rata stock redemption.In this transaction,Leon receives $200,000 in redemption of 200 shares of Crane.As a result of this transaction,Leon will recognize:

A) No gain or loss.
B) $170,000 dividend income.
C) $200,000 dividend income.
D) $200,000 long-term capital gain.
E) None of the above.