Charles, an individual, owned 100% of the Alpha, an S corporation.At the first of the year, Charles' basis in Alpha was $25,000.In the current year, Alpha realized ordinary income of $1,000; and a long term capitalgain of $3,000.Alpha distributed $25,000 to Charles at the end of the year.What amount of the $25,000 is taxable to Charles?

A) $0

B) $7,000

C) $25,000

D) $1,000