I agree with @Mike9241 which also reaches the same conclusion as TT.
Since you have a net positive adjustment for the year, the AAA is adjusted first for this positive adjustment before determining how distributions will impact the AAA.
As a result, TT is arriving at the correct distribution amount on line 7.
Based on the limited facts, my gut tells me that some of the prior year returns were completed incorrectly.
Is this a big deal......most likely not. The issue is, should you be audited and an agent sees a blatant error such as that, they will most likely dig deeper into the return.
*A reminder that posts in a forum such as this do not constitute tax advice.
Also keep in mind the date of replies, as tax law changes.
