Business Income Homework Question ABC Co. has prepared its financial statements for the year anding December 31, 2020. The Company reported Net Income of $325,000 on it income statement. The below items were indaded on the Income Statement 1. The Income Statement reported an income tax expense of $85,000. 2 $18,000 on business meals and entertainment 3. $4,000 was spent on special events, which included a company BBQ, the annual Christmas Party and a bowling party. All staff were invited to these events. 4. The company had an amortization expense of $195,000 5. A bonus payable to the company's top selling sales person in the amount of $50,000. It will be paid on June 1, 2020. 6. The Company sold a piece of land for $80,000. The original cost of the land was $100,000. It reported an accounting loss of $20,000. 7. The Company paid $100,000 for a personal chef for the CEO and controlling shareholder of the Company The following items were not included in the financial statements: 8. CCA of $205,000 9. Terminal loss of $35,000 on the disposition of a building during the year. 10. The BC Government said that it would pay of the wages for a co-op student hired for the summer. The Company spent $14,000 on wages for the co-op student. They received $7,000 back from the BC Government. Required: Calculate ABC Co's 2020 minimum Net Income For Tax Purposes. Use the RECONCILIATION method. Show all your work and reference the note above for each item listed Business Income Homework Question ABC Co. has prepared its financial statements for the year anding December 31, 2020. The Company reported Net Income of $325,000 on it income statement. The below items were indaded on the Income Statement 1. The Income Statement reported an income tax expense of $85,000. 2 $18,000 on business meals and entertainment 3. $4,000 was spent on special events, which included a company BBQ, the annual Christmas Party and a bowling party. All staff were invited to these events. 4. The company had an amortization expense of $195,000 5. A bonus payable to the company's top selling sales person in the amount of $50,000. It will be paid on June 1, 2020. 6. The Company sold a piece of land for $80,000. The original cost of the land was $100,000. It reported an accounting loss of $20,000. 7. The Company paid $100,000 for a personal chef for the CEO and controlling shareholder of the Company The following items were not included in the financial statements: 8. CCA of $205,000 9. Terminal loss of $35,000 on the disposition of a building during the year. 10. The BC Government said that it would pay of the wages for a co-op student hired for the summer. The Company spent $14,000 on wages for the co-op student. They received $7,000 back from the BC Government. Required: Calculate ABC Co's 2020 minimum Net Income For Tax Purposes. Use the RECONCILIATION method. Show all your work and reference the note above for each item listed