The profit and loss statement of Kitsch Ltd., an S corporation, shows $320,000 book income. Kitsch is owned equally by four shareholders. From supplemental data, you obtain the following information about items that are included in book income. Selling expenses Tax-exempt interest incomet ($64,000) 9,600 Dividends received 28,800 51231 gain 22,400 Depreciation recapture income 32,000 Net income from passive real estate rentals 16,000 Long-term capital loss (19,200) Salary paid to owners (each) (38,400) Cost of goods sold (288,000) a. Compute Kitsch's nonseparately stated income or loss for the tax year. The entity's nonseparately stated computed income Feedback Check My Work b. What would be the share of this year's nonseparately stated income or loss items for James Billings, one of the Kitsch shareholders? Feedback Check My Work c. What is James Billings' share of tax-exempt interest income, if any? Round your answer to the nearest dollar. Is the income taxable to him this year? Not taxable