A stock redemption is the acquisition by a corporation of its stock from a shareholder. A stockholder who owns all of the stock of a corporation sells back one half of his stock for cash. Which of the following statements is true with regard to this stock redemption?

Assume current Earnings and Profits greater than redemption amount.
a. This sale back to the corporation of one half will cause no percentage change in the shareholder's ownership.
b. After the redemption the shareholder will own all of the stock in the corporation.
c. The stock redemption resembles a dividend distribution and will be taxed accordingly.
d. All of the above.