P3:58

Hi, I have attached a document, if it is easier please feel free to put it into a spreadsheet.

There is also a second part to this question, but I do not have access to it until I answer the first part. If you would have the time I would appreciate the same tutor help me on the second part.

Thanks,

Katie

PC-3:58 Additional Information: Account Title Net sales Dividends Interest Gain on sale of stock Key-person life insurance proceeds Cost of goods sold Salaries and wages Bad debts Payroll taxes Interest expense Charitable contributions Depreciation Other expenses Federal income taxes Net income Total The following additional information applies. 1. Corporation, a 30%-owned domestic corporation. 2. Book income Debit Credit $3,230,000 10,000 (1) 18,000 (2) 9,000 (3) 100,000 2,000,000 500,000 13,000 (4) 62,000 12,000 (5) 50,000 (6) 70,000 (7) 40,000 (8) 166,000 454,000 $3,367,000 $3,367,000 Dividends were from Star Interest revenue consists of interest on corporate bonds, $ 15 comma 000 ; and municipal bonds, $ 3 comma 000 . 3. The stock is a capital asset held for three years prior to sale. 4. Rocket uses the specific writeoff method of accounting for bad debts. 5. Interest expense consists of $ 11 comma 000 interest incurred on funds borrowed for working capital and $ 1 comma 000 interest on funds borrowed to purchase municipal bonds. 6. paid all contributions in cash during the current year to State University. 7. Rocket Rocket calculated depreciation per books using the straight-line method. For income tax purposes, depreciation amounted to $ 95 comma 000 . 8. Other expenses include premiums of $ 5 comma 000 on the key-person life insurance policy covering Rocket 's president, who died in December. 9. . 10. Rocket has a $ 90 comma 000 NOL carryover from prior years. Qualified production activities income is $ 300 comma 000