im filling out a tax return form 1120. i attached my income statement and balance sheet. can you please tell me how the additional information provided for the trial balance impacts my numbers from the income statement?
7. Wages to non-officers are 646,000 8. Pension expense is the same for both book and tax purposes. 9. Miscellaneous expenses include premiums paid on term life insurance policies on the lives of Austin and Tyler (Razorback Sports is the beneficiary of the life insurance policies). 3,040 2,766 10. Miscellaneous expenses include a fine issued by the City of Fayetteville for violating COVID-19 rules 11. The corporation uses MACRS depreciation for tax purposes. The corporation purchased all of its equipment on July 1, 2018. Razorback Sports took the maximum amount of $179 depreciation (no bonus depreciation). The equipment is all 7 year property. Cost of the equipment 12. Accounts receivable written off by Razorback Sports during the year were a. 2,280,000 22,800 123,120 60,800 a. 13. On December 1, 2020 Razorback Sports paid a dividend to its shareholders of 14. Razorback Sports made four equal estimated tax payments of if it has overpaid its federal tax liability, Razorback would like to receive a refund. 15. The corporation paid the following compensation to its officers: Austin Williams Tyler Jacobs Kellie Francis Jason Roberts 524,400 433,200 220,400 197,600 16. All officers devote 100% of their time to the business and all officers are U.S. citizens. 17. Neither Kellie nor Jason owns any stock in Razorback Sports. Income Statement Razorback Sports Inc. For Year Ended December 31, 2020 Financial Statements in U.S. Dolars Revenue Gross Sales Less: Sales Retums and Allowances Net Sales $ 5.199.084.00 $ 57,760.00 $ 5,141,324.00 Cost of Goods Sold Cost of Goods Sold $ 1,222,080.00 Gross Profit (Loss) $ 3.919.244.00 Expenses Advertising Bad Debts Charitable contributions Compensation Depreciation Entertainment Federal Income Tax Interest Maintenance Meals Miscellaneous Other Taxes Pension Plans Professional Services Property Tax State Income Tax Supplies Total Expenses $ 82.080.00 $ 53,200.00 $ 38,000.00 $ 2,021,600.00 $ 30,400.00 $ 5,320.00 $ 381,216.00 $ 94,240.00 $ 38.000.00 $ 2,660.00 $ 62,168.00 $ 85,120.00 $ 63.840.00 $ 48.640.00 $ 68,400.00 $ 91,200.00 $ 12.920.00 $ 3,179,004.00 Net Operating Income $ 740,240.00 Other Income Capital Gains Dividends (received) Gain from Disposition of Fixed Assets Interest Income Total Other Income on online 18.240.00 18,240.00 5,852.00 22,800.00 65.132.00 Net Income (Loss) $ 805,372.00 Razorback Sports Inc. Balance Sheet Assets Corcentassen: Cash Accounts receivable Inventory Investments in state & local bonds Investments in stock Investment in U.S. government bonds onderend aus $13.912.00 913,672.00 2,432,000.00 212,800.00 418.000.00 106 AD0.00 4.596.786.DO Non current asses Accumulated Depreciation Allowance for doubtful accounts Equipment Land Tatlon.cocconcassee Current Yes (570,000.001 (80484.00) 2.280,000.00 3,374 400.00 3,003,475.00 the assess Other assets Jotstocher ossos 380,000.00 380.000.00 Total assets 9,980,700.00 Liabilities and owner's equity Accounts payable Other current liabilities Tots orrent bio Currentes 334 400.00 179,360.00 513.769.00 Concm Babes Mortgage payable Other abilities Totatlong-terolisbilitie 2318456.00 279832.00 Oumers Capital stock (common) Ending Retained Eamings Totslowersecsey 1,368.000.00 5,500,652.00 5,868 652.00 Total liabilities and owner's equity 9,980,700.00
