C CORPORATION BOOK-TO-TAX RECONCILIATION. Cavalier Corporation, an accrual basis, calendar year C Corporation, began operations on July 6, 2009. For each item below, determine the 2019 schedule M-1 adjustment to reconcile book income to taxable income, i.e., the amount and the effect ( + or - ).

Net income per books	$850,000
Provision for Federal Income Taxes, $180,000
Municipal bond interest, $15,000
During 2019, Cavalier increased its allowance for uncollectible accounts by $30,000; actual bad debt written off in 2019 was $26,000
Cavalier reported depreciation for financial purposes of $115,000; MACRS, Bonus and 179 amounts for the year were $150,000
Cavalier acquired another corporation in 2015, paying $450,000 for goodwill. Cavalier recorded a goodwill impairment loss of $75,000 for financial purposes in 2019
In December 2018, Cavalier received $40,000 as an advance payment for rental of property. Cavalier reported the $40,000 as a liability (unearned income) on its balance sheet at 12/31/18 and as earned income in 2019
In December 2019, Cavalier received $30,000 as an advance payment for rental of property. Cavalier reported the $30,000 as a liability (unearned income) on its balance sheet at 12/31/19
Cavalier reported gains of $8,000 and losses of $36,000 from the sale of investments in its Other Revenue & Expenses section of its income statement
Cavalier received dividend income from 25% owned corporations totaling $40,000
Cavalier deducted a $40,000 excess charitable contribution carryover from 2016 on its 2019 tax return
In May 2019, Cavalier paid a $15,000 fine to a local government for violating a local ordinance
Taxable Income