On May 1, 1989, Brendan McLeod and Duncan Ryan formed Angler Corporation to sell fishing tackle. Pertinent information regarding Angler is summarized as follows:

The business address is 3027 Woodland Ridge Blvd., Baton Rouge, Louisiana 70816.

The employer identification number is 75-3392543; the principal business activity code is 451110.

Brendan and Duncan each own one-half of the outstanding common stock; no other class of stock is authorized. Brendan is president of the company, and Duncan is secretary-treasurer. Both are full-time employees of the corporation, and each receives a salary of $140,000. Brendans Social Security number is 145-26-2593. Duncans Social Security number is 287-43-4945.

The corporation uses the accrual method of accounting and reports on a calendar basis. Inventories are determined by using the lower of cost or market method. For book and tax purposes, the straight-line method of depreciation is used.

During 2017, the corporation distributed a cash dividend of $80,000.

Selected portions of Anglers profit and loss statement of 2017 reflect the following debits and credits:

Account		Debit	Credit
Gross sales			$2,190,000
Sales returns and allowances		$80,000
Cost of goods sold		950,000
Dividends received from stock investments in less than 20% owned U.S. corporations			120,000
Interest income
State bonds		$14,000
Certificates of deposit		10,000	24,000
Premiums on term life insurance policies on the lives of Brendan and Duncan; Angler Corporation is the designated beneficiary		11,000
Salaries-officers		280,000
Salaries-clerical and sales		290,000
Taxes (state, local, and payroll)		39,000
Repairs		29,000
Interest expense		18,000
Fines for dumping toxic waste		9,000
Advertising		6,000
Rental Expense		38,000
Depreciation		40,000

A comparative balance sheet for Angler Corporation reveals the following information:

Assets	January 1, 2017	December 31, 2017
Cash	$480,000	$334,100
Trade notes and accounts receivable	808,200	1,060,600
Inventories	600,000	736,000
Certificates of Deposit	130,000	130,000
State bonds	170,000	170,000
Prepaid Federal tax	---	2,800
Buildings and other depreciable assets	240,000	240,000
Accumulated depreciation	(88,800)	(128,800)
Land	20,000	20,000
Other assets	3,600	1,000
Total assets	$2,363,000	$2,565,700

Liabilities and Equity
Accounts payable	$340,000	$273,000
Other current liabilities	57,860	41,000
Mortgages	220,000	200,000
Capital stock	500,000	500,000
Retained earnings	1,245,140	1,551,700
Total liabilities and equity	$2,363,000	$2,565,700

Net income per books (before any income tax accrual) $544,000

Income Tax Expense 157,440

Net Income $386,560

During 2017, Angler Corporation made estimated tax payments of $160,240 to the IRS. Prepare a Form 1120 for Angler Corporation for tax year 2016. Include Forms 1125-A, 1125-E and Schedule G (Form 1120).