Required information Problem 11-50 (LO 11-3) (Static) [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 Year 1 Year 2 Sales revenue $ 175, 000 $ 310, 000 Cost of goods sold (60, 000) (85, 000) Salary to owners Jack and Jill (40, 000) (50, 000) Employee wages (15, 000) (20, 000) Depreciation expense (10, 000) (15, 000) Miscellaneous expenses (7, 500) (9, 000) Interest income (unrelated to business) 2, 000 2,500 Qualified dividend income 500 1, 000 Overall net income $ 45, 000 $ 134, 500 Problem 11-50 Part a (Static) 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. x Answer is complete but not entirely correct