Question
Bonnie Mush is an officer with Mush Fitness and receives a $40,000 salary from the business. During 2016, Mush had the following income and (expenses)
Bonnie Mush is an officer with Mush Fitness and receives a $40,000 salary from the business. During 2016, Mush had the following income and (expenses)
Service Income$62,675, Customer refunds ($550), Interest income $6,250, Qualified dividend income$350 , Facility rental:(12,000), Office salary ($40,000), Other salaries ($8,000), Fitness Supplies ($750), Laundry services ($1200), Towels ($270), Mats ($537).
1.Where should interest income be reported on the Form 1120S?
2. What is the income/loss reconciliation amount that should be reported on line 18 of Schedule K?
3. What is the ordinary income (loss) Mush fitness should report on line 21 of the Form 1120 S?
4. What is the total income reported on the Form 1120S, line 6?
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