Corporation A$,$ a calendar$-$year C corporation that began conducting business $18$ years ago, had accumulated earnings and profits of $$26,000$ as of January $1$ of the current year. On April $1,$ A distributed $$40,000$ in cash to Ms$.$ X$,$ Corporation A$$s sole shareholder. Corporation A had earnings and profits of $$4,000$ for the current year. Ms$.$ X had an adjusted basis of $$18,000$ in her stock before the distribution. What are Ms$.$ X$$s ordinary dividend income and the return of capital due to this distribution?

Dividend Income

Return of Capital

A$.$

Dividend Income

$$40,000$

Return of Capital

$$0$

B$.$

Dividend Income

$$22,000$

Return of Capital

$$18,000$

C$.$

Dividend Income

$$30,000$

Return of Capital

$$10,000$

D$.$

Dividend Income

$$10,000$

Return of Capital

$$30,000$