During the year, Bob Nutt, the sole shareholder of a calendar year S corporation, received a distribution of $17,000. At the end of last year, his 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?

A. Nutt recognizes a $1,000 LTCG.

B. Nutts stock basis is $2,000.

C. Nutts ordinary income is $11,000.

D. Nutts tax-free return of capital is $17,000.