The Allwardt Trust is a simple trust that correctly uses the calendar year for tax purposes. Its income beneficiaries (Lucy and Ethel) are entitled to the trust's annual accounting income in shares of one-half each. For the current tax year, Allwardt reports the following.

a. How much income is each beneficiary entitled to receive? $82,500

b. What is the trust's DNI? $156,750

c. What is the trust's taxable income?

d. How much gross income is reported by each of the beneficiaries?

Please help with C and D. A and B are correct.

Ordinary income Long-term capital gains, allocable to corpus Legal and accounting fees, allocable to corpus $165,000 49,500 8,250