During 2014, Oxen Corporation Incurs the Following Transactions Oxen Maintains a Valid S Election and Does Not Distribute

During 2014, Oxen Corporation incurs the following transactions.
$\begin{array}{llr} \text {Net income from operations } &\$100,000\\ \text { Interest income from savings account} &3,000\\ \text { Long-term capital gain from sale of securities} &10,000\\ \text { Short-term canital loss from sale of securities } &4,000\\\end{array}$

Oxen maintains a valid S election and does not distribute any assets (cash or property) to its sole shareholder, Megan. As a result, Megan must recognize:

A) Ordinary income of $103,000.
B) Ordinary income of $103,000 and long-term capital gain of $5,000.
C) Ordinary income of $103,000, long-term capital gain of $10,000, and $4,000 short-term capital loss.
D) Ordinary income of $109,000.