Please explain why the right answer for this problem is true.

Donald owns a 45% interest in a partnership that earned $130,000 in the current year. He also owns 45% ofthe stock in a C corporation that earned $130,000 during the year. Donald received $20,000 in distributions from each of the two entities during the year. With respect to this information, Donald must report $78,500 of income on his individual income tax return for the year.