Schedule C Net Profit shows as 0 with PAL next to it, even though I earned a profit

1) From looking at the 2-year Schedule C comparison report it shows that I had Passive suspended losses last year that negated my profit this year. I have always marked that I am materially participating in my business, so just want to make sure that carrying over the loss from last year is not a problem.  I'm actively involved, so the use of PAL concerns me.

2) For my Ohio state taxes does this PAL apply or do I report the actual profit? I would think that the profit should be the same on both federal and state, but just not sure about the use of PAL.