Form 1125A and schedule G

. Note: This problem is for the 2018 tax year. On November 1, 2008, Janet Morton and Kim Wong formed Pet Kingdom, Inc., to sell pets and pet supplies. Pertinent information regarding Pet Kingdom is summarized as follows: Pet Kingdom's business address is 1010 Northwest Parkway, Dallas, TX 75225; its telephone number is (214) 555-2211; and its e-mail address is petkingdom@pki.com. The employer identification number is 11-1111112, and the principal business activity code is 453910, Janet and Kim each own 50% of the common stock; Janet is president and Kim is vice president of the company. Ne other dass of stock is authorized Both Janet and Kim are full-time employees of Pet Kingdom. Janet's Social Security number is 123-45-6788, and Kim's Social Security number is 123-45-6787. Pet Kingdom is an accrual method, calendar year taxpayer. Inventories are determined using FIFO and the lower of cost or market method. Pet Kingdom uses the straight-line method of depreciation for book purposes and accelerated depreciation (MACRS) for tax purposes. During 2015, the corporation distributed cash dividends of $250,000. Pet Kingdom's financial statements for 2018 are shown below. Income Statement Income Gross sales Sales returns and allowances Net sales Cost of goods sold Gross profit Dividends received from stock investments in less- than-20 owned U.S. corporations Interest income: State bonds $15,000 Certificates 20,000 of deposit Total income Expenses Salaries-officers: Janet Morten $262,500 Km Tg 262.500 $525,000 Salaries-denca 725,000 and sales Taces (state, local, and Davro 238,000 Repairs and maintenance 140,000 Interestepense: Loan to purchase $9,000 state bonds Other business 207,000 216,000 loans Advertising 58.000 Rental expense 109,000 Depreciation 106,000 Charitable 38,000 contributions Employee benefit 60,000 programs Premiums on term life insurance policies on lives of Janet Morton and Van Wong Pet Kingdom is the designated beneficiary 40,000 Total expenses (2.255.0001 Net income before taxes $1,073,750 Federal income tax (221.734) Net income per 5852,016 books * Depreciation for tax purposes is $136,000. You are not provided enough detailed data to complete a Form 4562 (depreciation). If you solve this problem using Intuit ProCoopest, enter the amount of depreciation on line 20 of Form 1120. $5,750,000 (200,000) $5,550,000 (2,300,000) $3.250,000 43,750 35,000 $3,328,750 Balance Sheet Assets January 1, 2018 December 31, 2018 Cash $1,200,000 $1.039.461 Trade notes and accounts receivable 2,062.500 2.147.000 Inventories 2.750.000 3.030.000 Stock investment 1,125.000 1. 125.000 State bonds 375.000 375.000 Certificates of deposit 400,000 400.000 Prepaid Federal tax -0- 2260 Buildings and other depreciable assets 5.455,000 5.455,000 Accumulated depreciation (606,000) 1712.000) Land 812.500 312.500 Other assets 140,000 129.500 Total assets $13.714,000 $13.802.727 Liabilities and Equity January 1, 2018 December 31, 2018 Accounts payable $2.284.000 51.340.711 Other current liabilities 175.000 155,000 Mortgages 4.625.000 4.575.000 Capital stock 2.500.000 2.500.000 Retained earnings 4,130,000 +732016 Total liabilities and equity $13,714,000 $13.802.727 Required: During 2018, Pet Kingdom made estimated tax payments of $56.000 each quarter to the IRS. Prepare a Form 1120 for Pet Kingdom for tax year 2018 If an amount box does not require an entry or the answer is zero, enter"0". . Enter all amounts as positive numbers, unless otherwise instructed. If required, round amounts to the nearest dollar. Make realistic assumptions about any missing data. - . Note: This problem is for the 2018 tax year. On November 1, 2008, Janet Morton and Kim Wong formed Pet Kingdom, Inc., to sell pets and pet supplies. Pertinent information regarding Pet Kingdom is summarized as follows: Pet Kingdom's business address is 1010 Northwest Parkway, Dallas, TX 75225; its telephone number is (214) 555-2211; and its e-mail address is petkingdom@pki.com. The employer identification number is 11-1111112, and the principal business activity code is 453910, Janet and Kim each own 50% of the common stock; Janet is president and Kim is vice president of the company. Ne other dass of stock is authorized Both Janet and Kim are full-time employees of Pet Kingdom. Janet's Social Security number is 123-45-6788, and Kim's Social Security number is 123-45-6787. Pet Kingdom is an accrual method, calendar year taxpayer. Inventories are determined using FIFO and the lower of cost or market method. Pet Kingdom uses the straight-line method of depreciation for book purposes and accelerated depreciation (MACRS) for tax purposes. During 2015, the corporation distributed cash dividends of $250,000. Pet Kingdom's financial statements for 2018 are shown below. Income Statement Income Gross sales Sales returns and allowances Net sales Cost of goods sold Gross profit Dividends received from stock investments in less- than-20 owned U.S. corporations Interest income: State bonds $15,000 Certificates 20,000 of deposit Total income Expenses Salaries-officers: Janet Morten $262,500 Km Tg 262.500 $525,000 Salaries-denca 725,000 and sales Taces (state, local, and Davro 238,000 Repairs and maintenance 140,000 Interestepense: Loan to purchase $9,000 state bonds Other business 207,000 216,000 loans Advertising 58.000 Rental expense 109,000 Depreciation 106,000 Charitable 38,000 contributions Employee benefit 60,000 programs Premiums on term life insurance policies on lives of Janet Morton and Van Wong Pet Kingdom is the designated beneficiary 40,000 Total expenses (2.255.0001 Net income before taxes $1,073,750 Federal income tax (221.734) Net income per 5852,016 books * Depreciation for tax purposes is $136,000. You are not provided enough detailed data to complete a Form 4562 (depreciation). If you solve this problem using Intuit ProCoopest, enter the amount of depreciation on line 20 of Form 1120. $5,750,000 (200,000) $5,550,000 (2,300,000) $3.250,000 43,750 35,000 $3,328,750 Balance Sheet Assets January 1, 2018 December 31, 2018 Cash $1,200,000 $1.039.461 Trade notes and accounts receivable 2,062.500 2.147.000 Inventories 2.750.000 3.030.000 Stock investment 1,125.000 1. 125.000 State bonds 375.000 375.000 Certificates of deposit 400,000 400.000 Prepaid Federal tax -0- 2260 Buildings and other depreciable assets 5.455,000 5.455,000 Accumulated depreciation (606,000) 1712.000) Land 812.500 312.500 Other assets 140,000 129.500 Total assets $13.714,000 $13.802.727 Liabilities and Equity January 1, 2018 December 31, 2018 Accounts payable $2.284.000 51.340.711 Other current liabilities 175.000 155,000 Mortgages 4.625.000 4.575.000 Capital stock 2.500.000 2.500.000 Retained earnings 4,130,000 +732016 Total liabilities and equity $13,714,000 $13.802.727 Required: During 2018, Pet Kingdom made estimated tax payments of $56.000 each quarter to the IRS. Prepare a Form 1120 for Pet Kingdom for tax year 2018 If an amount box does not require an entry or the answer is zero, enter"0". . Enter all amounts as positive numbers, unless otherwise instructed. If required, round amounts to the nearest dollar. Make realistic assumptions about any missing data