Bybee, Inc., was formed in 2015 to engage in the landscaping business. Bybee, Inc., initially elected to be taxed as a C-corp. However, the sole owner of Bybee, Inc., Tim, was so busy finishing his education (and so broke paying for his education) that he had no time or assets to invest in business activity. So Bybee, Inc. was mostly inactive from 2015 through 2021. Using a borrowed lawn mower, Bybee, Inc., was able to earn the impressive total of $1,000 in earnings and profits, from 2015 through 2021 inclusive, none of which was distributed to Tim. In 2022 Tim decided to get serious. On January 1, 2022 Bybee filed a new election to be taxed as a S-corp beginning with the 2022 calendar year. Tim then contributed $99.000 in cash, bringing the total assets of Bybee, Inc., up to $100,000 (99,000 contribution, plus $1,000 Accumulated Earnings and Profits). Bybee, Inc. invested most of the $100.000 in new equipment. hired two employees, and began to make a profit. By the end of 2022 Bybee, Inc., had net income of $40,000, a capital gain on the sale of a riding lawnmower of $6,000 and made a distribution to Tim of $5,000 per month ($60.000 annual total) a. (5 Points). How will the total distribution to Tim of $60,000 in 2022 be taxed (character and amount)