At the beginning of 2017, Green Corp. had accumulated E&P of $2,000,000, and at the end of
Question:
At the beginning of 2017, Green Corp. had accumulated E&P of $2,000,000, and at the end of 2017, Green Corp. had a current E&P of $500,000. Only use the numbers and computations below. Do not account for organizational expense deduction, dividend distribution or charitable contribution deduction by Green Corp.
● Gross receipts from merchandise sales: $5,000,000
● Employee salaries: $2,000,000
● COGS: $1,000,000
● Interest income from Hawaii municipal bonds: $12,000
● Bribes to intergalactic police: $300,000
● Advertising/Marketing: $20,000
● Deep space usage fees: $10,000
● Rental income from 2 floors of Office Building: $20,000
● Utilities, telephone, internet & satellite expenses: $50,000
● Federal estimated tax payments: $100,000
● Total qualified meals expenses: $200,000
● Dividend Income from Titan, Inc,: $50,000
● Long-term Capital Losses: $800,000
● Ordinary Income from Sales of §1231 Assets: Your computation
● Sec. 179 Deduction (do NOT include carryback): Your computation
● Long-term Capital Gains from Sales of §1231 assets: Your computation
● DRD: Your computation
● Work Opportunity Credit: Your computation
● Foreign Tax Credit: Your computation
Compute Avenger’s net taxable income for 2018.
56) What is Greens’ accumulated E&P on January 1, 2018?
57) Compute Green’s current E&P as of December 31, 2018
58) What is Green’s accumulated E&P on January 1, 2019?
59) What is Green’s tax owed/refund for the 2018 tax year?
60) What are the names and amounts of the carryforwards and/or carrybacks for Green Corp. that cannot be used in 2018?
Expert Answer:
55 Gross receipts from merchandise sales 5000000 COGS 1000000 Gross Profit 4000000 Operating Expenses Employee salaries 2000000 Interest income from Hawaii municipal bonds 12000 Bribes to intergalacti... View the full answer
