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- Required information [The following information applies to the questions displayed below.] Jack and Jill are owners of UpAHill, an S Corporation. They own 25 and 75 percent, respectively. UpAHill Corporation (an S Corporation) Income Statement December 31, Year 1 and Year 2 Sales revenue Cost of goods sold Salary to owners Jack and Jill Employee wages Depreciation expense Miscellaneous expenses Interest income (unrelated to business) Qualified dividend income Overall net income Year 1 $ 175,000 (60,000) (40,000) (15,000) (10,000) (7,500) 2,000 500 Year 2 $ 310,000 (85,000) (50,000) (20,000) (15,000) (9,000) 2,500 1,000 $ 45,000 $ 134,500 a. What amount of ordinary income and separately stated items are allocated to them for years 1 and 2 based on the information above? Assume that UpAHill Corporation has $100,000 of qualified property (unadjusted basis) in both years.a. What amount of ordinary income and separately stated items are allocated to them for year 1 based on the information above? Assume that Falcons Corporation has $200,000 of qualified property (unadjusted basis). Answer is complete but not entirely correct. Ordinary Income Allocated wages Section 179 expense Unadjusted basis of qualified property Distributions Qualified business income Municipal bond income Amount Allocated to Julio Allocated to Milania $ 135,300 $ 67,650 $ 67,650 x 65,000 32,500 32,500 30,000 15,000 15,000 200,000 100,000 100,000 $ 28,000 $ 14,000 $ 14.000 $ 10,000 $ 5,000 $ 5,000 x $ 1,300 $ 650 $ 650! Required information [The following information applies to the questions displayed below.] Julio and Milania are owners of Falcons Corporation, an S corporation. Each owns 50 percent of Falcons Corporation. In year 1, Julio and Milania each received distributions of $10,000 from Falcons Corporation. Sales revenue Cost of goods sold Falcons Corporation (an S Corporation) Income Statement December 31, Year 1 and Year 2 Salary to owners Julio and Milania Employee wages Depreciation expense Section 179 expense Interest income (related to business income) Municipal bond income Government fines Overall net income Distributions Year 1 $ 335,000 (42,000) Year 2 $ 465,000 (65,000) (40,000) (80,000) (30,000) (60,000) (20,000) (40,000) (30,000) (50,000) 10,000 1,700 0 $ 184,700 $ 20,000 18,500 4,400 (3,000) $ 189,900 $ 50,000
- 1. A VAT-registered business makes a sale of P33,600, inclusive of VAT. The amount of sale that is reported in the statement of comprehensive income can be computed as* a. P33,600 x 112%b. P33,600 / 112%c. P33,600 x 12% / 112%d. P33,600 / 12% / 112% 2. You are an employee in the private sector. For the year 20x1, you received a 13th month pay of P110,000 and a Christmas bonus (non-performance based) of P25,000. Of the benefits you have received, how much is taxable?* a. P135,000b. P90,000c. P45,000d. P0Hansen Corporation. a C Corporation (mot a manufacturer) reports the following items in income and expenses for 2021 Gross Revenue $900,000 Dividend Received from 30% owned Corp 200,000 LTCG 30,000 STCL 12000 City of Lee's Summit Bond Interest 10000 COGS 375000 Administrative Expenses 325000 Charitable Contribution 60,000 Compute Hansen's C Corp Taxable income? a. 246,200 b. 276200 c. 275000The profit and loss statement of Treadwell Ltd., an S corporation, shows $265,000 book income. Treadwell is owned equally by four shareholders. From supplemental data, you obtain the following information about items that are included in book income. (attached image) a. Compute Treadwell's nonseparately stated income or loss for the tax year. b. What would be the share of this year's nonseparately stated income or loss items for Leo Lion, one of the Treadwell shareholders? c. What is Leo Lion's share of tax-exempt interest income, if any?
- Form 1120 and complete pages 1 and 2 (Schedule C) to the best of your ability . The Sunra Corporation had the following data available for the current year : Gross profit on sales $ 0, 000 Dividend income from nonaffiliated domestic corporations (not debt financed 20%-owned) 2,000 Operating expenses ( exclusive of charitable contributions) 28,000 Charitable contributions 1,500 Sunra's taxable income for the current year is 11,3008. During the current year, Kingbird Corporation (a calendar year C corporation) had the following income and expenses: Income from operations Expenses from operations Dividends received (15% ownership) $200,000 140,000 20,000 On October 1, Kingbird Corporation made a contribution to a qualified charitable organization of $25,000 in cash (not included in any of the above items). Determine Kingbird's charitable contribution deduction for the current year. a. $9,000 b. $7,500 c. $20,600 d. $6,525 e. None of the aboveAccounting Georgio owns a 20 percent profits and capital interest in Rain Tree LLC. For the current year, Rain Tree had the following revenues, expenses, galns, and losses: Sales revenue $ 75,250 Gain on sale of land ($1231) Cost of goods sold Depreciation-MACRS $179 deduction Eimplayee wages Nondeductible fines and penalties Municipal bond interest Short-Lern capital geins Guaranteed payment to Sandra "Assume the 5179 property placed in service limitation does not apply. 11,400 (40,500) (7, 800) (10,700) (16, еее) (4,700) 7,400 5,850 (3,250) a. How much ordinary business income (loss) is allocated to Georgio for the year? Total Amount Description Allocated to Georgio Sales revenue Ordinary Business Income b. What are Georgio's separately stated items for the year? Total Description Allocated Amount to Georgio Separately Stated Items on Schedule K-1:
- 8. During the current year, Kingbird Corporation (a calendar year C corporation) had the following income and expenses: Income from operations Expenses from operations Dividends received (15% ownership) On October 1, Kingbird Corporation made a contribution to a qualified charitable organization of $25,000 in cash (not included in any of the above items). Determine Kingbird's charitable contribution deduction for the current year. a. $9,000 $200,000 140,000 20,000 b. $7,500 c. $20,600 d. $6,525 c. None of the aboveThe profit and loss statement of Treadwell Ltd.., an S corporation, shows $265,000 book income. Treadwell is owned equally by four shareholders. From supplemental data, you obtain the following information about items that are included in book income. Selling expenses ($53,000) Tax-exempt interest income 7,950 Dividends received 23,850 § 1231 gain 18,550 Depreciation recapture income 26,500 Net income from passive real estate rentals 13,250 Long-term capital loss (15,900) Salary paid to owners (each) (31,800) Cost of goods sold (238,500) a. Compute Treadwell's nonseparately stated income or loss for the tax year. b. What would be the share of this year's nonseparately stated income or loss items for Leo Lion, one of the Treadwell shareholders? c. What is Leo Lion's share of tax-exempt interest income, if any?3 Net Income. A calendar year S corporation has the following information for the current taxable year: Sales $180,000 Cost of goods sold. Dividend income Net capital loss Salary to Z. Life insurance for Z (70,000) 5,000 (4,000) 12,000 500 Other operating expenses Cash distributions to owners 40,000 20,000 Assume Z is single and her only other income is $30,000 salary from an unrelated employer. She is a 20% owner with a $10,000 basis in the S stock at the beginning of the year. Calculate the S corporation's net ordinary income and Z's adjusted gross income and ending basis in the S corporation stock.