During the year, T Corp had the following transactions: Net income per books after tax $89,400 Tax-exempt bond interest income 5,000 Interest paid on loan used to purchase tax-exempt bonds 500 Key employee life insurance proceeds 50,000 Premiums on key employee life insurance 2,600 Excess of capital loss over capital gains 2,000 Book depreciation equals tax depreciation T's federal income tax rate is a flat 21% Assignment: Complete T's M-1 (below). SCHEDULES M-1 and M-21 Reconciliation of Income (Loss) and Analysis of OMB No 1545-0123 (Form 1120-F) Unappropriated Retained Earnings per Books Department of the Treasury 2021 Go to www.irs.gov/Form1120F for the latest information. Internal Revenue Service Attach to Form 1120-F. Name of corporation Employer identification number Schedule M-1 Reconciliation of Income (Loss) per Books With Income per Return Note: The corporation may be required to file Schedule M-3 (see instructions). Net income (loss) per books 7 Income recorded on books this year Federal income tax per books not included on this return (itemize): 3 Excess of capital losses over capital gains a Tax-exempt interest $ 4 Income subject to tax not recorded on b Other itemize): books this year (itemize): 1 2 5 Expenses recorded on books this year not deducted on this return (itemize): a Depreciation b Charitable contributions S c Travel and entertainment $ d Other (itemize): 8 Deductions on this return not charged against book income this year (itemize): a Depreciation. b Charitable contributions $ c Other itemize): 9 10 6 Add lines 1 through 5 Add lines 7 and 8 Income-line 6 less line 9