PLEASE FOLLOW LINE BY LINE FROM THE CHART

Camden Corporation, a calendar year, accrual basis corporation, reported $$5$ million of net income after tax on its current year financial Camden Corporation, a calendar year, accrual basis corporation, reported $$5$ million of net income after tax on its current year financial statements prepared in accordance with GAAP. In addition, the following information is available from Camden's books and records:

Federal income tax expense per books was $$1\mathrm{.}5$ million.

Camden incurred $$30,000$ of meals not provided by a restaurant and $$25,000$ of entertainment expenses.

Camden sold two pieces of equipment used in its business for total sales proceeds of $$400,000.$ The equipment's original cost was

$$2$ million. Book depreciation prior to sale totaled $$1\mathrm{.}2$ million; tax depreciation totaled $$1\mathrm{.}5$ million.

Camden uses the reserve method of accounting for bad debts. Additions to the reserve during the year totaled $$400,000.$ Accounts

receivable actually written off during the year totaled $$450,000.$

Camden's depreciation expense for book purposes totaled $$900,000.$ Tax depreciation computed under MACRS is $$1\mathrm{.}25$ million.

Required:

a$.$ Determine Camden's taxable income and regular tax liability.

b$.$ Complete Schedule M$-1,$ page $6,$ Form $1120.$

c$.$ Compute Camden's AFSI, tentative minimum tax, AMT $($if any$),$ and final tax due.

Complete this question by entering your answers in the tabs below.

Required C

Compute Camden's AFSI, tentative minimum tax, AMT $($if any$),$ and final tax due.

statements prepared in accordance with GAAP. In addition, the following information is available from Camden's books and records:

Federal income tax expense per books was $$1\mathrm{.}5$ million.

Camden incurred $$30\mathrm{.}000$ of meals not provided by a restaurant and $$25\mathrm{.}000$ of entertainment expenses.

Camden sold two pieces of equipment used in its business for total sales proceeds of $$400,000.$ The equipment's original cost was

$$2$ million. Book depreciation prior to sale totaled $$1\mathrm{.}2$ million; tax depreciation totaled $$1\mathrm{.}5$ million.

Camden uses the reserve method of accounting for bad debts. Additions to the reserve during the year totaled $$400,000.$ Accounts

receivable actually written off during the year totaled $$450,000.$

Camden's depreciation expense for book purposes totaled $$900,000.$ Tax depreciation computed under MACRS is $$1\mathrm{.}25$ million.

Required:

a$.$ Determine Camden's taxable income and regular tax liability.

b$.$ Complete Schedule M$-1,$ page $6.$ Form $1120.$

c$.$ Compute Camden's AFSI, tentative minimum tax. AMT $($if any$),$ and final tax due.

Complete this question by entering your answers in the tabs below.

Complete Schedule $M-1,$ page $6,$ Form $1120.$

Note: Any Expenses $($Line $5)$ and Deductions $($Line $8)$ that are not included under Depreciation, Charitable Contributions, and Travel and

Entertainment should be combined in the corresponding line item "Other". Enter all amounts as positive. Consider intermediate values in dollars

and not in millions. Enter your answers in whole dollars not in millions.

THIS FORM IS A SIMULATION OF AN OFFICIAL U$.$S$.$ TAX FORM. IT IS NOT THE OFFICIAL FORM IT SELF. DO NOT USE THIS FORM FOR TAX FILINGS

OR FOR ANY PURPOSE OTHER THAN EDUCATIONAL.