On November 1, 2010, Janet Morton and Kim Wong formed Pet Kingdom, Inc., to sell pets and pet supplies. Pertinent information regarding Pet Kingdom is summarized as follows:

•Pet Kingdom's business address is 1010 Northwest Parkway, Dallas, TX 75225; its telephone number is (214) 555-2211; and its e-mail address is petkingdom@pki.com 

• The employer identification number is 11-1111112, and the principal business activity code is 453910.

• Janet and Kim each own 50% of the common stock; Janet is president and Kim is vice president of the company. No other class of stock is authorized.

• Both Janet and Kim are full-time employees of Pet Kingdom. Janet’s Social Security number is 123-45-6788, and Kim’s Social Security number is 123-45-6787.

• Pet Kingdom is an accrual method, calendar year taxpayer. Inventories are determined using FIFO and the lower of cost or market method. Pet Kingdom uses the straight-line method of depreciation for book purposes and accelerated depreciation (MACRS) for tax purposes.

• During 2021, the corporation distributed cash dividends of $250,000. Pet Kingdom’s financial statements for 2021 are shown below.

During 2021, Pet Kingdom made estimated tax payments of $56,000 each quarter to the IRS. Prepare Pet Kingdom's corporate tax return for tax year 2021 using Form 1120 (and any other appropriate forms and schedules). Suggested software: ProConnect Tax.

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Income Gross sales Sales returns and allowances Net sales Cost of goods sold Gross profit Dividends received from stock investments in less-than-20%- owned U.S. corporations Interest income: State bonds Certificates of deposit Expenses Total income Income Statement $ 15,000 20,000 $ 5,750,000 (200,000) $ 5,550,000 (2,300,000) $ 3,250,000 43,750 35,000 $ 3,328,750