Which lf the following is true regarding DNI and a complex trust?

A. the income distribtiob deduction is limited to the greater of DNI or the actual distributions.

B. DNI is increased by tax-exempt income included in the amount of accounting income.

C If DNI limits the distribution deduction it will be ansorbed by Tier 1 distributions first.

D. Any amounts paid over and above the required distributions are considered Tier II distributions and reduce DNI.