Book to Tax Reconciliation Describe the Book/Tax Impact of each transaction:

Brief Facts:

• Taxable Income for charitable contribution limitation purposes/ before any charitable contribution, NOL carryover from previous year, and DRD $9,100,000.00
• NOL carry over from prior year - $500,000.00
• Depreciation has a favorable difference (book depreciation vs. tax depreciation) of $100,000.00
• Bad Debt expense is accrued at $150,000.00 but cash expense is only $50,000.00
• Charitable contribution is $2,000,000.00
• Company A owns 50% of Company B. Company B paid Company A $1,000,000.00 in dividends