John Weaver $(123-45-6781)$ and George Kupp $(123-45-6782)$ are $50\%$ and $50\%$ owners, respectively of Scully, Inc. $(11-1111120),$ a Baseball manufacturing company located at $1525$ Valley Glenn Ave. Tustin CA $92782.$ Scully's S$-$ election was made effective January $1,2021.$

Prior to that Scully was a C Corporation incorporated on $6/15/1980.$

On $12/31/2022,$ the Company sold interest in the Land used in the trade or business for $$1,202,000$ Cash. The basis of the land was $$2,000$ purchased on $1/1/2019.$ No estimated tax payments have been made. The following information was taken from the company's $2022$ income statement without regard to the sale to the sale of Land:

Interest income $ $200,000$

Gross sales receipts $2,610,000$

Beginning inventory $9,607$

Direct labor $(203,102)$

Direct materials purchased $(278,143)$

Direct other costs $(249,356)$

Ending inventory $3,467$

Salaries and wages $(442,103)$

Officers' salaries $($$$100,000$ each to Weaver and Kupp$)(200,000)$

Repairs $(206,106)$

Depreciation expense, tax and book $($assume Bonus Depreciation$-$Section $168($k$))(15,254)$

Interest expense $(35,222)$

Rent expense $($operating$)(40,000)$

Taxes $(65,101)$

Charitable contributions $($cash$)(40,000)$

Advertising expenses $(30,000)$

Payroll penalties $(15,000)$

Other deductions $(59,899)$

Net Unrealized Built$-$In Gain$-$Land @$12/31/20211,000,000$

A comparative balance sheet appears in a separate file. Scully's accounting firm provides the following additional information.

Distributions to shareholders $$500,000$

Beginning balance, Accumulated adjustments account $111,148$

W$-2$ wages for QBI $795,205$

Using the preceding information, prepare a $2022$ Form $1120$S and Schedule K$-1$s for John Weaver $25$ Newport Blvd$,$ Irvine CA $92618,$ and George Kupp, $10$ Main Street, Irvine, CA $92618.$ Complete the Forms $1125-$A$,1125-$E$,4562,4797$ and Schedule D and other forms you deem necessary. If any information is missing, make realistic assumptions. Suggested software: Pro Connect Tax Online.