Download the Excel file here and use the income statement and the additional information to prepare a reconciliation of book income to taxable income. Then compute Xylon's federal income tax for 2018. Provide an explanation of each reconciling item, and show all necessary calculations in the spreadsheet. Prepare your answers on the same Excel file and upload to Canvas. Shown below is the book income statement for Xylon Corp. for calendar 2018 Prepare a reconciliation of book income to taxable, and compute Xylon's federal income tax for 2018 Prepare your answer on this spreadsheet, and submit in canvas Provide an explanation of each reconciling item, and show all necessary calculations in the spreadsheet Sales Cost of goods sold 145,318,226 76,932,669 68,385,557 Other income Dividends Capital gain 2,426,000 91,000 2,517,000 70,902,557 42,811,619 28,090,938 21,266,219 Operating expenses Operating income Interest expense Loss 600,000 (Accrued loss related to litigation which has not yet gone to trial) Income before federal tax 6,224,719 Notes: The dividends are from a corportation in which Xylon has a 35% interest Included in operating expenses are Depreciation Bad debts Meals Entertainment Fines 5,629,50!5 1,006,912 306,412 216,422 8,115 (MACRS 8,316,006) (Tax bad debts 826,911) Traffic fines for employees on company business) Download the Excel file here and use the income statement and the additional information to prepare a reconciliation of book income to taxable income. Then compute Xylon's federal income tax for 2018. Provide an explanation of each reconciling item, and show all necessary calculations in the spreadsheet. Prepare your answers on the same Excel file and upload to Canvas. Shown below is the book income statement for Xylon Corp. for calendar 2018 Prepare a reconciliation of book income to taxable, and compute Xylon's federal income tax for 2018 Prepare your answer on this spreadsheet, and submit in canvas Provide an explanation of each reconciling item, and show all necessary calculations in the spreadsheet Sales Cost of goods sold 145,318,226 76,932,669 68,385,557 Other income Dividends Capital gain 2,426,000 91,000 2,517,000 70,902,557 42,811,619 28,090,938 21,266,219 Operating expenses Operating income Interest expense Loss 600,000 (Accrued loss related to litigation which has not yet gone to trial) Income before federal tax 6,224,719 Notes: The dividends are from a corportation in which Xylon has a 35% interest Included in operating expenses are Depreciation Bad debts Meals Entertainment Fines 5,629,50!5 1,006,912 306,412 216,422 8,115 (MACRS 8,316,006) (Tax bad debts 826,911) Traffic fines for employees on company business)
