A calendar-year S corporation has a balance in its AAA and accumulated E&P of $3,000 and $20,000, respectively, at the beginning of 20X9. During 20X9, the corporation has ordinary income of $10,000. Also during 20X9, the corporation makes a $15,000 distribution to its shareholders.

What amount of the $15,000 distribution is taxed as dividend income to the shareholders?

If a bypass election is properly made for 20X9, what amount of the $15,000 distribution is taxed as dividend income to the shareholders?