Waikola Corporation is an S corporation with two equal shareholders, Christina and Henry. During 2021, the S corporation distributed $50,000 in cash to each of its shareholders and incurred the following items of income and expense: Gross receipts from sales $300,000 Operating costs (160,000) Municipal bond interest income 2,000 Meals and entertainment costs (8,000) Long-term capital loss (15,000)

a. Calculate the S corporations ordinary income, and indicate which items must be separately stated.