The financial accounting balance sheet for Zane, a retail sales corporation, as of the end of the current year is as follows:

Using the accrual method Zane reports the following financial accounting operating re-suits for the cur rent year:

All dividends qualify for the dividends-received deduction. In addition, the following items should be taken into account:Current-year estimated tax payments ............................... $15,000MACRS depreciation for tax purposes ................................. 60,000Prepare a current year Form 1120 (U.S. Corporation Income Tax Return) for Zane. Disregard beginning-of-the-year balance sheet amounts other than retained earnings. Also, leave spaces blank on Form 1120 for information not provided.

Transcribed Image Text:

Assets $ 50,000 20,000 10,000 20,000 100,000 150,000 60,000 $410,000 Cash Accounts receivable Inventory Land Buildings (net of $30,000 accumulated depreciation) Equipment (net of $50,000 accumulated depreciation) Intangibles Total assets Liabilities & Owmer's Equity Accounts payable Mortgage payable Long-term debt Capital stock Retained earnings Total liabilities and stockholders' equity $ 40,000 40,000 60,000 100,000 170,000ª $410,000