Timpanogos Incorporated is an accrual$-$method, calendar$-$year corporation. For $2023,$ it reported financial statement income after Required A and $B$ book$-$tax difference as either permanent $($P$)$ or temporary $(T).$

Note: Negative amounts should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable.

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$\backslash$table$[[$Description$,\backslash$table$[[$Book Income$],[($Debit$)$ Credit$]],\backslash$table$[[$Book$-$tax$],[$adjustments$],[($Debit$)]],\backslash$table$[[$Permanent $($P$)$ or$],[$Temporary $($T$)]],\backslash$table$[[$Book$-$tax$],[$adjustments$],[$Credit$]],\backslash$table$[[$Permanent $($P$)$ or$],[$Temporary $($T$)]],\backslash$table$[[$Taxable$],[$Income $($Debit$)],[$Credit$]]],[$Revenue from sales,$$2,300,000,,,2,300,000,,],[$Cost of goods sold,$(345,000),,,(345,000),,],[$Gross profit,$$1,955,000,,,,,$$$],[$Other income:$],[$Life insurance proceeds from CEO's death,$230,000,(230,000),|",,|,],[$Interest income on tax$-$exempt bonds,$46,000,(46,000),\backslash$bar $($P$),,$L$,],[$Net capital loss,,,,,$|$T$,],[$Rental income,,$(11,500),,34,500,|$T$,],[$Gross income,$$2,231,000,,,,,$$$],[$Expenses:$],[$Interest paid to obtain tax$-$exempt bonds,$(51,750),,,,\backslash$bar $($p$),],[$Depreciation$,,,,,$pr$,],[$Life insurance premiums,,,,,pr$,],[$Federal income tax expense,,,,,$\backslash$bar $($p$),],[$Total expenses before charitable contribution, NOL, and DRD$,(51,750),,,,,0],[$Income before charitable contribution, NOL, and DRD$],[$NOL carryover from prior year$],[$Taxable income for charitable contribution limitation purposes,,,,,Z$,$$$],[$Charitable contributions $($after $10\%$ limit$),,,,,\backslash$bar $($T$),],[$Book or Taxable income,$$,$$$(287,500),,$$$(310,500),,$$$]]$ Required $A$

and $B$

Required C

Required D

Complete Schedule M$-1$ for Timpanogos.

Note: Enter all values as positive numbers.

$\begin{array}{cc}\text{S}\text{c}\text{h}\text{e}\text{d}\text{u}\text{l}\text{e}M-1\text{:}\text{R}\text{e}\text{c}\text{o}\text{n}\text{c}\text{i}\text{l}\text{i}\text{a}\text{t}\text{i}\text{o}\text{n}of\text{I}\text{n}\text{c}\text{o}\text{m}\text{e}(Loss)\text{p}\text{e}\text{r}\text{B}\text{o}\text{o}\text{k}\text{s}\text{W}\text{i}\text{t}\text{h}\text{I}\text{n}\text{c}\text{o}\text{m}\text{e}\text{p}\text{e}\text{r}\text{R}\text{e}\text{t}\text{u}\text{r}\text{n}& ?\\ 1.\text{N}\text{e}\text{t}\text{i}\text{n}\text{c}\text{o}\text{m}\text{e}(loss)\text{p}\text{e}\text{r}\text{b}\text{o}\text{o}\text{k}\text{s}& ?\\ 2.\text{F}\text{e}\text{d}\text{e}\text{r}\text{a}\text{l}\text{i}\text{n}\text{c}\text{o}\text{m}\text{e}\text{t}\text{a}\text{x}\text{p}\text{e}\text{r}\text{b}\text{o}\text{o}\text{k}\text{s}& ?\\ 3.\text{E}\text{x}\text{c}\text{e}\text{s}\text{s}of\text{c}\text{a}\text{p}\text{i}\text{t}\text{a}\text{l}\text{l}\text{o}\text{s}\text{s}\text{e}\text{s}\text{o}\text{v}\text{e}\text{r}\text{c}\text{a}\text{p}\text{i}\text{t}\text{a}\text{l}\text{g}\text{a}\text{i}\text{n}\text{s}& ?\\ 4.\text{I}\text{n}\text{c}\text{o}\text{m}\text{e}\text{s}\text{u}\text{b}\text{j}\text{e}\text{c}\text{t}to\text{t}\text{a}\text{x}\text{n}\text{o}\text{t}\text{r}\text{e}\text{c}\text{o}\text{r}\text{d}\text{e}\text{d}on\text{b}\text{o}\text{o}\text{k}\text{s}\text{t}\text{h}\text{i}\text{s}\text{y}\text{e}\text{a}\text{r}(itemize)\text{:}& ?\\ \text{R}\text{e}\text{n}\text{t}\text{a}\text{l}\text{i}\text{n}\text{c}\text{o}\text{m}\text{e}& ?\\ 5.\text{E}\text{x}\text{p}\text{e}\text{n}\text{s}\text{e}\text{s}\text{r}\text{e}\text{c}\text{o}\text{r}\text{d}\text{e}\text{d}on\text{b}\text{o}\text{o}\text{k}\text{s}\text{t}\text{h}\text{i}\text{s}\text{y}\text{e}\text{a}\text{r}\text{n}\text{o}\text{t}\text{d}\text{e}\text{d}\text{u}\text{c}\text{t}\text{e}\text{d}on\text{t}\text{h}\text{i}\text{s}\text{r}\text{e}\text{t}\text{u}\text{r}\text{n}(itemize)\text{:}& ?\\ a.\text{D}\text{e}\text{p}\text{r}\text{e}\text{c}\text{i}\text{a}\text{t}\text{i}\text{o}\text{n}& ?\\ b.\text{C}\text{h}\text{a}\text{r}\text{i}\text{t}\text{a}\text{b}\text{l}\text{e}\text{c}\text{o}\text{n}\text{t}\text{r}\text{i}\text{b}\text{u}\text{t}\text{i}\text{o}\text{n}\text{s}& ?\\ c.\text{T}\text{r}\text{a}\text{v}\text{e}\text{l}\text{a}\text{n}\text{d}\text{e}\text{n}\text{t}\text{e}\text{r}\text{t}\text{a}\text{i}\text{n}\text{m}\text{e}\text{n}\text{t}& ?\\ \text{I}\text{n}\text{t}\text{e}\text{r}\text{e}\text{s}\text{t}\text{p}\text{a}\text{i}\text{d}to\text{o}\text{b}\text{t}\text{a}\text{i}\text{n}\text{t}\text{a}\text{x}-\text{e}\text{x}\text{e}\text{m}\text{p}\text{t}\text{b}\text{o}\text{n}\text{d}\text{s}& ?\\ \text{L}\text{i}\text{f}\text{e}\text{i}\text{n}\text{s}\text{u}\text{r}\text{a}\text{n}\text{c}\text{e}\text{p}\text{r}\text{e}\text{m}\text{i}\text{u}\text{m}\text{s}& ?\\ 6.\text{T}\text{o}\text{t}\text{a}\text{l}& ?\\ 7.\text{I}\text{n}\text{c}\text{o}\text{m}\text{e}\text{r}\text{e}\text{c}\text{o}\text{r}\text{d}\text{e}\text{d}on\text{b}\text{o}\text{o}\text{k}\text{s}\text{t}\text{h}\text{i}\text{s}\text{y}\text{e}\text{a}\text{r}\text{n}\text{o}\text{t}\text{i}\text{n}\text{c}\text{l}\text{u}\text{d}\text{e}\text{d}on\text{t}\text{h}\text{i}\text{s}\text{r}\text{e}\text{t}\text{u}\text{r}\text{n}(itemize)\text{:}& ?\\ \text{T}\text{a}\text{x}-\text{e}\text{x}\text{e}\text{m}\text{p}\text{t}\text{i}\text{n}\text{t}\text{e}\text{r}\text{e}\text{s}\text{t}& ?\\ \text{L}\text{i}\text{f}\text{e}\text{i}\text{n}\text{s}\text{u}\text{r}\text{a}\text{n}\text{c}\text{e}\text{p}\text{r}\text{o}\text{c}\text{e}\text{e}\text{d}\text{s}\text{f}\text{r}\text{o}\text{m}\text{C}\text{E}\text{O}\text{'}\text{s}\text{d}\text{e}\text{a}\text{t}\text{h}& ?\\ 8.\text{D}\text{e}\text{d}\text{u}\text{c}\text{t}\text{i}\text{o}\text{n}\text{s}on\text{t}\text{h}\text{i}\text{s}\text{r}\text{e}\text{t}\text{u}\text{r}\text{n}\text{n}\text{o}\text{t}\text{c}\text{h}\text{a}\text{r}\text{g}\text{e}\text{d}\text{a}\text{g}\text{a}\text{i}\text{n}\text{s}\text{t}\text{b}\text{o}\text{o}\text{k}\text{i}\text{n}\text{c}\text{o}\text{m}\text{e}\text{t}\text{h}\text{i}\text{s}\text{y}\text{e}\text{a}\text{r}(itemize)\text{:}& ?\\ a.\text{D}\text{e}\text{p}\text{r}\text{e}\text{c}\text{i}\text{a}\text{t}\text{i}\text{o}\text{n}& ?\\ b.\text{C}\text{h}\text{a}\text{r}\text{i}\text{t}\text{a}\text{b}\text{l}\text{e}\text{c}\text{o}\text{n}\text{t}\text{r}\text{i}\text{b}\text{u}\text{t}\text{i}\text{o}\text{n}\text{s}& ?\\ \text{S}\text{e}\text{c}\text{t}\text{i}\text{o}\text{n}263\text{A}costs& ?\\ 9.\text{T}\text{o}\text{t}\text{a}\text{l}& 10.\text{I}\text{n}\text{c}\text{o}\text{m}\text{e}\end{array}$ Complete this question by entering your answers in the tabs below.

Required A

and $B$

Compute Timpanogos Incorporated's tax liability.

taxes of $$1,545,250.$ Timpanogos provided the following information relating to its activities for the year:

Required:

a$.$ Reconcile book income to taxable income for Timpanogos Incorporated. Be sure to start with book income and identify all of the

adjustments necessary to arrive at taxable income.

b$.$ Identify each book$-$tax difference as either permanent $($P$)$ or temporary $($T$).$

c$.$ Complete Schedule M$-1$ for Timpanogos.

d$.$ Compute Timpanogos Incorporated's tax liability.