The Toy Story Trust is required to distribute $80,000 annually, split equally between its two income beneficiaries, Molly and Andy. If trust income is not sufficient to pay these amounts, the trustee can invade corpus to the extent necessary. During the current year, the trust reports DNI of $60,000. Andy receives an additional $30,000 discretionary corpus distribution.

1. How much of these distributions are first-tier distributions or second-tier distributions?
2. How much of the $40,000 distributed to Molly is included in her gross income?
3. How much of the $70,000 distributed to Andy is included in his gross income?