I need help filing out this Schedule C, I am incredibly confused in where to start...

ACCT 107 Chapter 1 Tax Return Problem (35 Points) In July of this year Stephen started a sole proprietorship called ECR (which stands for Electric Car Repair). ECR uses the cash method of accounting and Stephen has produced the following financial information for this year lo ECR collected $81,000 in cash for repairs completed during the year and an additional $3,200 in cash for repairs that will commence after year end. Customers owe ECR 514,300 for repairs completed this year, and while Stephen isn't sure which bilis will eventually be paid, he expects to collect all but about $1,900 of these revenues next year. ECR has made the following expenditures: Interest expense $ 1,250 Shop rent ($1,500 per month) 27,000 Utilities 1,075 Contract labor 8,250 Compensation 21,100 Liability insurance premiums ($350 per month) 4,200 Term life insurance premiums ($150 per month) 1,800 The interest paid relates to interest accrued on a $54,000 loan made to Stephen in July of this year. Stephen used half of the loan to pay for 18 months of shop rent and the remainder he used to upgrade his personal wardrobe. In July Stephen purchased 12 months of liability insurance to protect against liability should anyone be injured in the shop. ECR has only one employee (the remaining workers are contract labor), and this employee thoroughly understands how to repair an electric propulsion system. On November 1 of this year Stephen purchased a 12- month term-life policy that insures the life of this "key" employee. Stephen paid Gecko Insurance Company $1,800, and in return Gecko promises to pay Stephen a $40,000 death benefit if this employee dies any time during the next 12 months Fill out a draft of the front page of Stephen's Schedule C. SCHEDULEC Form 1040 or 1040-SRI Profit or Loss From Business OMA NO. 1545-0074 Sole Proprietorship 2019 Department of the Treasury Go to www.irs.gov/Schedule for instructions and the latest Information Attachment mm Revenue Service Attach to Form 1040,1040-SR, 1040-NR, or 1041: partnerships generally must file Form 1005 Sequence No. 09 Name of proprietor social security number Principal business or profession, including product or services instructions B odbram auctions DDDD No ol Business name. I no separate business name, love blank D Employee Business address including suite or room no.) City, town or post office state and ZIP code F Accounting method: ( Cash (2) Accrual (3) Other specity) G Did you materially partiate in the operation of this business during 20197 "No," see instructions for limit on fosse Yes No H If you started or red this business during 2019. check here 1 Did you make any payments in 2019 that would require you to file Form 10907 se instructions) Yes No J "Yes" did you or will you file required Form 10992 Yes Part 1 Income 1 Gross receipts or sales. See Instructions for fine and check the box if this income was reported to you on Form W-2 and the Statutory employee" box on that form was checked 1 2 Returns and allowances 2 3 Subtract line 2 from line 1 3 4 Cost of goods sold from line 421 4 3 Gross profit. Subtract line 4 from line 3 5 6 Other income, including federal and state gasoline or fuel tax credit or refund see instructions 6 7 Gross income. Addnes 5 and 6 7 Part II Expenses. Enter expenses for business use of your home only on line 30. 8 Advertising 8 18 Office expense (see instructions 18 Car and truck expenses 19 19 Pension and profit sharing plans instructions 9 20 Rent or lease see instructions: 10 Commissions and fees 10 a Vehicles, machinery, and equipment 20 11 Contract labore instructions bother business property 20b 12 Depletion 12 21 Repairs and maintenance 21 13 Depreciation and section 179 22 Supplies (not included in Part III. 22 expense deduction 23 included in Part see 23 Taxes and licenses instructions 13 24 Travel and meals: Employee benefit programs Travel 24a father than on line 19). 14 b Deductible meals (sco 15 Insurance father than health 15 instructions) 24b 16 Interest (see instructions: 25 25 a Mortgage paid to banks, etc.) 15a 26 Wages des employment credits). 26 b Other 16h 27a Other expenses (from line 48) 27a 17 Legal and professional services 17 b Reserved for future use 27b 28 Total expenses before expenses for business use of home. Add Ines through 27a 28 29 Tentative profit or loss). Subtract line 28 from line 7 29 30 Expenses for business use of your home. Do not report these experises elsewhere. Altach Form 1829 unless using the simplified method (see instructions Simplified method fllers only: enter the total square footage of: (al your home and by the part of your home used for business Lise the Simplified Method Worksheet in the instructions to figure the amount to enter on Ine 30 30 31 Net profit or loss). Subtract line 30 from line 29 If a profit, enter on both Schedule 1 Form 1040 or 1040-SR), line 3 for Form 1040-NR, line 13) and on Schedule SE, line 2. of you checked the box on line 1. see instructions. Estates and 31 trusts, enter on Form 1041, line 3 If a loss, you must go to line 32 32 If you have a loss, check the box that describes your investment in this activity see instructions - you checked 32a, enter the loss on both Schedule 1 (Form 1040 or 1040-SR), line 3 for 32a All investment is at risk. Form 1040-NR, line 13) and on Schedule SE, line 2. (if you checked the box on line 1. see the line 32 Some Investment is not 31 instructions. Estates and trusts, enter on Form 1041, line 3 If you checked 32b, you must attach Form 6196. Your loss may be limited. For Paperwork Reduction Act Notice, see the separate instructions. Cat No. 11334P Schedule Form 1040 or 1040-SA) 2019 14 Utilities at risk