Drab, a calendar year S corporation, incurred the following this year. What is Drab’s ordinary business income? 

Transcribed Image Text:

Sales Cost of goods sold Long-term capital gain Short-term capital loss Political lobbying expenditures Amortization of organizational expenditures Salary expense Rent expense Tax-exempt interest Dividends paid to shareholders $1,500,000 700,000 10,000 5,000 5,000 2,000 100,000 140,000 10,000 45,000