Can you make a retirement SEP from 1120-S K1 Box 1 - ORDINARY BUSINESS INCOME?

I have a client that has a 1120-S - she also gets a W-2 for 65000.00 from the 1120-s (only employee so no retirement)

and has a profit of 40,274 that is reported on her 1120-S K-1 box 1

Can she make a make a SEP contribution? She says she did with her old accountant - but I don't think she can - 

Please advise when is right - thank you  (and how to explain it to her)

Thank you in advance.