FINANCIAL INFORMATION

During the year of 2020, the Lawson And Norman Enterprises, Inc. reported the following Income and Expenses (including necessary accruals) for Financial Accounting purposes:

Gross Receipts $1,482,000

Sales Returns And Allowances 109,000

Purchases 510,000

Dividends Received From Stock (Not Qualified Dividends)

Investments In Less Than twenty percent (20%)

Owned United States (U. S.) Corporation 80,000

Interest Income:

Taxable Interest (Bank) 18,000

Tax-Exempt Interest 7,200

Salaries: Valerie Lawson 75,000

Clara Norman 75,000

Other Employees 108,000

Repairs And Maintenance 19,300

Rent Expense - Office 84,000

Rent Expense - Equipment 15,500

Payroll Taxes (Federal And State) 19,600

Interest Expense (Trade Or Business Interest) 25,200

Advertising Expense 33,500

Charitable Contributions ("60%" Charities) 48,000

Legal And Professional Fees 18,000

Depreciation Expense 50,000 *

Utilities Expense 27,100

Employee's Health Insurance Premiums 14,200

Meals For Clients 5,000

Officers' Life Insurance Premiums 14,600 **

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* - Based upon Straight-Line Depreciation, a useful life of five (5) years and no salvage value for all assets (see specific assets below).

** - Lawson And Norman Enterprises, Inc. Is The Designated Beneficiary.

No additional capital contributions were made during the year of 2020 and each shareholder made a total of $140,000 (all cash) withdrawals throughout the course of the year of 2020.

The Lawson And Norman Enterprises, Inc. owns the following depreciable assets:

ASSET DESCRIPTION DATE ACQUIRED ORIGINAL COST

Automobile 2019 Lexus 460 April 1, 2019 $ 60,000

(Five-year Property)

Automobile 2019 Cadillac Seville April 1, 2019 60,000

(Five-year Property)

Furniture And Fixtures May 1, 2018 150,000

BALANCE SHEETS

The Balance Sheets (Financial Accounting) for the Lawson And Norman Enterprises, Inc. at the beginning and ending of the year of 2020 are as follows:

Form 1120S

Form 1125-A

Form 1125-E

Schedule K-1 (Form 1120S) (2)

Form 4562