Income tax

Income statement Income statement Notes to income statement 1. Scott Enterprises Ltd. is a small business corporation operated by the sole shareholder, Aaron Scott. 2. Accounting and legal includes legal fees related to Aaron's dispute in regards to a personal car accident in the amount of $2,080. 3. Advertising and promotion includes 'Meals and Entertainment' costs in the amount of $4,220. 4. Information for Capital Cost Allowance (CCA) purposes-the Undepreciated Capital Cost (UCC) at December 31 of the prior year was as follows: Class 8 (Office \& General Equipment): \$45,400 Class 10 (Automotive Equipment): $25,200. 5. The company has set up an allowance for doubtful accounts based on a review of the Accounts Receivable at December 31 of the current year. This is a procedure that the proprietorship follows every year. 6. Insurance includes life insurance premiums for Aaron Scott in the amount of $3,200. This life insurance policy is required as collateral for the business bank loan. 7. Office expenses include the $5,800 purchase of laptop computers on January 15,2020 . 8. Wages and benefits includes the club dues/membership fees paid to the Royal Oak Club in the amount of $5,960. The club dues are paid for the five managers who take clients to the Royal Oak Club on a regular basis for business purposes. Aaron Scott is the sole shareholder of Scott Enterprisos Lid; a small retail thop seting locally made ats and cratt The shop tias boen in operation for several yeses and has a calendar fiscal year Aaron provides you with the income Statement loe the corporation for December 31,2020 (Click on the keen to view the incoibe statement) (Cick on the loon ta view the notes to the income statemeot) Calculate the net business incomo for Seot Enterprises Lid for the year 2020 Calculate the net bushess income for Scott Emerprises (td for 2020 . Hound to the nearet dolar) The net ineeme far 2020 is s