375 A B C D E F H J K L M N 1 Balance sheet as of 12/31/19 Income Statement per Books 2 11205 Year Ended 12/31/19 3 Income statement 4 Assets Income per tax code 5 cash 59,393 Sales Revenue 250.000 6 inventory 3,000 Interest Earned 350 7 ovens 6,000 Gross Income 250, 350 8 computer 3,000 9 cash register 2.000 COGS 10 customer seating 2.500 Beginning Inventory 2.437 11 delivery van 18,000 Purchases 40.000 12 accumulated depreciation (28,630) Ending Inventory (3.000) 13 Intangible Asset 2.200 COGS 39.437 14 accumulated amortization (733) Gross Profit 210.913 15 16 Total Assets 66.730 Expenses 17 Accounting 1,400 18 Liabilities Advertising 400 19 Payroll Withholding payable 900 Amortization 440 20 sales tax payable 1,400 Bank Charges 300 21 bank loan payable 15.000 Business Insurance 2.000 22 Total Liabilities 17,300 Depreciation 1,680 no sect 179 23 Health Insurance 6,001 24 Equity Interest Expense 1.200 25 Common Stock 20,000 Meals & Entertainment 750 26 Retained Earnings 69.430 Miscellaneous 250 27 Distributions ( (40.000) Office supplies 500 28 Total Equity 49.430 Payroll Taxes 12.000 29 Rent 15.000 30 Total Liabilities and O/E O/E 66.730 Utilities 4.000 31 Wages 110.000 324 goes on Schedule K 33 34 Total Expenses 155,921 35 36 Net Income Per Books 54,992 55,367 37 Not A Rock, Inc. 38 14700 Excelsior Blvd. 39 Minnetonka, MN 55345 SS # Ownership % 40 EIN 41-1234567 - Nellie's wages were 20,000 359-00-0000 60 41 Incorporated 5/1/02 Bonnie's wages were 17,000 359-00-0001 40 42 Selection 5/1/02 and business code 311400 In addition, their health insurance was paid which was $1500 43 2 shareholders each or $3,000 total. This must be transferred from employee 44 You can copy Schedule B from the Quickfinder. benefits to wages 45 Use Retail and Fruitcake in Schedule B 46 ** Goes on Schedule K 47 Beginning Retained Earnings is 14438 & All distributions are allocated 60/40 48 you can leave the beginning Balance Sheet blank 49 50 Put Nellie's name on all 1040 forms 51 You only have to do the K-1 and 1040 for Nellie (not Bonnie) for this assignment. 52 53 On the 1040, I only need you to do schedule E page 2, 1040 lines 1, 2b, 7a, 7b, 8a, 8b, 10 (line 10 - line 7a x 20%) and 1040 schedule schedule 1 lines 5,9,16,22. 54 On the K-1 line 17V, list the items similar to your Quickfinder at the bottom. Income -60% of schedule K lines 1 minus line 11, 55 W-2 Wages = 60% of the company's total wages (page 1 lines 7 and 8), Unadjusted basis = only include 60% of the 31,500 fixed assets 56 NOT the intangible assets. 57 58 ANY INFORMATION LISTED IN THE QUICKFINDER THAT YOU DON'T HAVE JUST LEAVE BLANK FOR THIS 59 60 Round all numbers on the returns to the nearest dollar! Any numbers 50 cents or higher round up. 61 If you don't round or round incorrectly your score will be reduced. 62 63 64 D E H A 1 Form 1120S 2 B Other deductions line F G Tax year ending 3 Name ID # x 50% 4 5 6 Amortization from form 4562 7 Auto Exp 8 Bank Charges 9 Commissions and Fees 10 Insurance 11 Legal and Professional 12 Licenses and Fees 13 Meals & Entertainment 14 Office Expense 15 Postage and Shipping 16 Supplies 17 Telephone 18 Travel Exp 19 Utilities 20 Other 21 22 23 Total Please find attached a homework problem for your review and completion. It will be necessary to locate and complete forms 11205, 1125A, 11205 K-1, 1040, 1040 Schedule 1, and 1040 schedule E (page 2). These forms can be obtained from the IRS.Gov website. Please use the attached Other Deduction sheet for that page of the return. On the 1040, I only need you to do schedule E page 2, 1040 lines 1, 2b, 7a, 7b, Sa, Sb, 10 (line 10 = line 7a x 20%) and 1040 schedule schedule 1 lines 5,9,16, 22. IF YOU HAVE ANY QUESTIONS, CONTACT ME!!! 375 A B C D E F H J K L M N 1 Balance sheet as of 12/31/19 Income Statement per Books 2 11205 Year Ended 12/31/19 3 Income statement 4 Assets Income per tax code 5 cash 59,393 Sales Revenue 250.000 6 inventory 3,000 Interest Earned 350 7 ovens 6,000 Gross Income 250, 350 8 computer 3,000 9 cash register 2.000 COGS 10 customer seating 2.500 Beginning Inventory 2.437 11 delivery van 18,000 Purchases 40.000 12 accumulated depreciation (28,630) Ending Inventory (3.000) 13 Intangible Asset 2.200 COGS 39.437 14 accumulated amortization (733) Gross Profit 210.913 15 16 Total Assets 66.730 Expenses 17 Accounting 1,400 18 Liabilities Advertising 400 19 Payroll Withholding payable 900 Amortization 440 20 sales tax payable 1,400 Bank Charges 300 21 bank loan payable 15.000 Business Insurance 2.000 22 Total Liabilities 17,300 Depreciation 1,680 no sect 179 23 Health Insurance 6,001 24 Equity Interest Expense 1.200 25 Common Stock 20,000 Meals & Entertainment 750 26 Retained Earnings 69.430 Miscellaneous 250 27 Distributions ( (40.000) Office supplies 500 28 Total Equity 49.430 Payroll Taxes 12.000 29 Rent 15.000 30 Total Liabilities and O/E O/E 66.730 Utilities 4.000 31 Wages 110.000 324 goes on Schedule K 33 34 Total Expenses 155,921 35 36 Net Income Per Books 54,992 55,367 37 Not A Rock, Inc. 38 14700 Excelsior Blvd. 39 Minnetonka, MN 55345 SS # Ownership % 40 EIN 41-1234567 - Nellie's wages were 20,000 359-00-0000 60 41 Incorporated 5/1/02 Bonnie's wages were 17,000 359-00-0001 40 42 Selection 5/1/02 and business code 311400 In addition, their health insurance was paid which was $1500 43 2 shareholders each or $3,000 total. This must be transferred from employee 44 You can copy Schedule B from the Quickfinder. benefits to wages 45 Use Retail and Fruitcake in Schedule B 46 ** Goes on Schedule K 47 Beginning Retained Earnings is 14438 & All distributions are allocated 60/40 48 you can leave the beginning Balance Sheet blank 49 50 Put Nellie's name on all 1040 forms 51 You only have to do the K-1 and 1040 for Nellie (not Bonnie) for this assignment. 52 53 On the 1040, I only need you to do schedule E page 2, 1040 lines 1, 2b, 7a, 7b, 8a, 8b, 10 (line 10 - line 7a x 20%) and 1040 schedule schedule 1 lines 5,9,16,22. 54 On the K-1 line 17V, list the items similar to your Quickfinder at the bottom. Income -60% of schedule K lines 1 minus line 11, 55 W-2 Wages = 60% of the company's total wages (page 1 lines 7 and 8), Unadjusted basis = only include 60% of the 31,500 fixed assets 56 NOT the intangible assets. 57 58 ANY INFORMATION LISTED IN THE QUICKFINDER THAT YOU DON'T HAVE JUST LEAVE BLANK FOR THIS 59 60 Round all numbers on the returns to the nearest dollar! Any numbers 50 cents or higher round up. 61 If you don't round or round incorrectly your score will be reduced. 62 63 64 D E H A 1 Form 1120S 2 B Other deductions line F G Tax year ending 3 Name ID # x 50% 4 5 6 Amortization from form 4562 7 Auto Exp 8 Bank Charges 9 Commissions and Fees 10 Insurance 11 Legal and Professional 12 Licenses and Fees 13 Meals & Entertainment 14 Office Expense 15 Postage and Shipping 16 Supplies 17 Telephone 18 Travel Exp 19 Utilities 20 Other 21 22 23 Total Please find attached a homework problem for your review and completion. It will be necessary to locate and complete forms 11205, 1125A, 11205 K-1, 1040, 1040 Schedule 1, and 1040 schedule E (page 2). These forms can be obtained from the IRS.Gov website. Please use the attached Other Deduction sheet for that page of the return. On the 1040, I only need you to do schedule E page 2, 1040 lines 1, 2b, 7a, 7b, Sa, Sb, 10 (line 10 = line 7a x 20%) and 1040 schedule schedule 1 lines 5,9,16, 22. IF YOU HAVE ANY QUESTIONS, CONTACT ME