I've attached two images of the question. Thanks in advance. It is Problem 8

omplex trust fiscal year beginning tates and Trusts state or trust (If a grantor type trust, see the instructions ) 2018 , 2018 and X E Practice Set Assignments-Comprehensive Tax Return Problems The trust and Betty both use the calendar tax year. Under the terms of the trust instru- ment, fiduciary's fees are allocated to income. The trustee must distribute all of the entity's accounting income to Betty Blue by February 15 of the following year. The trustee followed this charge and made no other distributions during the year. Fiduciary's fees properly were assigned as an offset to taxable interest income. The trust was created on July 8, 2000. There are no tax credits for the year, and none of the entity's income was derived from a personal services contract. The trust has no economic interest in any foreign trust. Its Federal identification number is 11-1111111. The trustee, Hoover State Federal Bank, is located at 4959 Cold Harbor Boulevard, Mountain Brook, AL 35223. Its employer identification number is 98-7654321. Betty lives at 67671 Crestline Road, Birmingham, AL 35212. Her Social Security number is 123-45-6789.and 3 of the return. An election to split gifts is made. The Polks have made no taxable gifts in prior years. Relevant Social Security numbers are 123-45-6789 (James) and 123-45-6788 (Ella). PROBLEM 8-TRUST (FORM 1041) Prepare the 2016 fiduciary income tax return (Form 1041) for the Blue Trust. In addition, determine the amount and character of the income and expense items that each benefici- HER ary must report for the year, and prepare a Schedule K-1 for Betty Blue. Omit all alterna- BLOCK tive minimum tax computations. The year's activities of the trust include the following. TAX SOFTWARE Dividend income, all U.S. stocks $50,000 Taxable interest income 10,000 Tax-exempt interest income 15,000 Fiduciary's fees 4,000 Signature of fiduciary or officer representing fiduciary Date EIN of fiduciary if a financial institution Preparer's signature Date Check Paid Print/Type preparer's name Morgan Henning self-empl Preparer Firm's EIN Use Only Firm's name 4 Phone no. Firm's address www.IRS.gov/Form1041 Cat. No. 11370H For Paperwork Reduction Act Notice, see the separate instructions