Jack and Jill are owners of UPAHill, an s Corporation. They own 25 and 75 percent, respectively. UPAHill Corporation (an 5 Corporation) Income Statement December 31, Year 1 and Year 2 Year 1 Sales revenue $ 175,000 Cost of goods sold (60,000) Salary to owners Jack and Jill (40,000) Employee wages (15,000) Depreciation expense (10,000) Miscellaneous expenses (7,500) Interest income (related to business) 2,000 Qualified dividend income 500 Overall net income $ 45,000 Year 2 $ 310,000 (85,000) (50,000) (20,000) (15,000 (9,000) 2,500 1,000 $ 134,500 Problem 11-50 Part a (Static) a. What amount of ordinary income and separately stated items are allocated to them for years 1 and 2 based on the information above? Assume that UpaHill Corporation has $100,000 of qualified property (unadjusted basis) in both years. Jack Jill Year 1 Year 2 Year 1 Year 2 Ordinary income Qualified business income Dividend income Allocated wages Unadjusted basis of qualified property