Jack and Jill are owners of UpAHill, an S corporation. They own 25 and 75 percent, respectively.

a. What amount of ordinary income and separately stated items are allocated to them for years 1 and 2 based on the information above?
b. Complete UpAHill's Form 1120S, Schedule K for year 1.
c. Complete Jill's 1120S, Schedule K-1 for year 1.

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UpAHill Corporation (an S corporation) Income Statement December 31, year 1 and year2 Year 1 Year 2 Sales Revenue $175,000 $310,000 Cost of Goods Sold Salary to owners Jack and Jill Employee Wages Depreciation Expense Miscellaneous Expenses Interest income Dividend Income Overall Net Income (60,000) (40,000) (15,000) (10,000) (7,500) 2,000 500 $45000 (85,000) (50,000) (20,000) (15,000) (9,000) 2,500 .000