Problem 11-9 Schedule M-1 (LO 11.4)

Caloundra Corporation has book income of $40,000. Included in the book income is $3,000 of tax-exempt interest, $7,000 of book income tax expense, and a $2,000 non-deductible fine. Also included in book income are $10,000 of dividends Caloundra received from a 30% owned corporation.

Using this information and Form 1120, provide the amounts that go on each line on the form.

Click here to access a blank Form 1120 and accompanying instructions.

40,000 V 34,000 X 42,000 X Form 1120, Schedule M-1 Line 1 Form 1120, Schedule M-1, Line 10 Form 1120, Page 1, Line 28 Form 1120, Schedule C, Line 2(a) Form 1120, Schedule C, Line 2(c) a. b. c. 10,000 d. 8,0001 x 8,0001 x 8,000 X 84,000 X e. Form 1120, Schedule C, Line 24 f. Form 1120, Page 1, Line 29tb g. Form 1120, Page 1, Line 30