During 2023, Svetlana, the sole shareholder of a calendar year S corporation, received a distribution of $16,000. On December 31, 2022, her stock basis was $4,000. The corporation earned $11,000 ordinary income during the year. It has no accumulated E & P. Which statement is correct? Svetlana's ordinary income is $15,000. Svetlana recognizes a $1,000 LTCG. Svetlana's return of capital is $11,000. Svetlana's stock basis will be $2,000.