Bruce is a $25\%$ shareholder in Delights, Inc., a frozen yogurt store in Champaign, IL operating as an S$-$Corporation. Based on the following items reported on Delights, Inc. $2023$ Form$1120-$S Schedule K$,$ how much ordinary income would be allocated to Bruce on his K$-1?$

Line $1$ Ordinary Business Income: $$160,000$

Line $5$ Ordinary Dividends: $$2,400$

Line $6$ Qualified Dividends: $$2,400$

Line $12$a Charitable Contributions: $$8,000$

Multiple Choice

$$38,000$

$$40,000$

$$40,600$

$$42,600$