- The expenses for dues and subscriptions were his country club membership dues for the year. - \$425 of the charitable contributions were made to a political action commiltee. - Scott does not generate income from the sale of goods and therefore does not record supplies and wages as part of cost of goods sold. - Meals and Entertainment expense includes $2,500 related to golf greens fees for entertaining clients, $1,000 for business meals provided by restaurants, and $900 for the office holiday party for all employees. 31 Net profit or (loss). Subtract line 30 from line 29. - Ir a profit, enter on both Schedule 1 (Form 1040), line 3, and on Schedule SE, line 2. (If you checked the box on line 1, see instructions). Estates and trusts, enter on Form 1041, line 3 . - Ir a loss, you must go to line 32