Question
2) Another Space business, Two Terriers Incorporated, has been an S corporation effective since its inception on March 12, 2019. The corporation is owned in
2) Another Space business, Two Terriers Incorporated, has been an S corporation effective since its inception on March 12, 2019. The corporation is owned in equal shares by Roman and Bailey. It has total assets of $212,500 and operates a janitorial service business for local gyms and track facilities. Its employer identification number is 91-4529887. For calendar year 2019, it had the following operational activity: Sales $375,000 Advertising $3,000 Salaries to employees $54,000 Payroll taxes $6,200 Incubator rent expense $1,500 Officers compensation $80,000 Section 179 expense $3,000 Interest expense $1,300 Parking fines $350 Dividend income from Nike stock $1,000 Other ordinary business deductions of $2,200 Gain on sale of Nike stock $500 Distributions of cash to each shareholder of $1,000 Using only the ordinary income and expense amounts listed above, complete Form 1120S, page 1 (completely with address, SIC, EIN, and all provided information).
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