The Washington Estate Generated Distributable Net Income This Year of $200,000

The Washington Estate generated distributable net income this year of $200,000, one-tenth of which was tax-exempt interest, and the balance of which was long-term capital gain.Felicity Washington, the sole income beneficiary of the Estate, received a distribution of the entire $250,000 fiduciary income of the entity.How is this distribution accounted for by Felicity?

A) $250,000 ordinary income.
B) $225,000 long-term capital gain, $25,000 exempt interest.
C) $200,000 ordinary income.
D) $20,000 long-term capital gain, $180,000 exempt interest.
E) $180,000 long-term capital gain, $20,000 exempt interest.