Name Title SS number Austin Williams CEO/President 123-45-6789


Question Description:

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Name Title SS number Austin Williams CEO/President 123-45-6789 Tyler Jacobs Executive VP 789-12-3456 Kellie Francis Operations VP 321-54-9876 Jason Roberts Secretary 987-65-4321 A trial balance for the corporation is attached. Additional information is presented below. Amount 1. Seminole Sports has a capital loss carry over from last year of 3,010 2. Interest income: a. From a City of Tallahassee bond that was used to fund new police station 1,918 b. From a City of Tallahassee bond that was used to fund an NFL stadium 2,726 c. From a U.S. Treasury bond 2,946 d. From a money market account 5,311 3. Seminole Sports sold equipment. a. Selling price 8,428 b. Original purchase price 9,890 c. Total book depreciation on the equipment 4,945 d. Total tax depreciation on the equipment 6,794 4. Seminole Sports’ dividend income came from Cimarron Inc. Seminole Sports owned 25,000 shares of the stock in Cimarron at the beginning of the year. This represented 15% of the Cimarron outstanding stock. 5. On July 22, 2015 Seminole Sports sold 2,500 shares of its Cimarron Inc. stock. a. Selling price 30,100 b. Seminole originally purchased these shares on April 24, 2013 20,640 c. After the sale, Seminole Sports owned 12.5% of Cimarron Inc. 6. Interest expense: a. From the mortgage on Seminole Sports’ building 45,322 b. From business-related loans 7,998 7. Wages to non-officers are 516,000 8. Pension expense is the same for both book and tax purposes. 9. Miscellaneous expenses include premiums paid on term life insurance policies on the lives of Austin and Tyler (Seminole Sports is the beneficiary of the life insurance policies). 2,795 10. Miscellaneous expenses include parking fines issued by the City of Tallahassee 151 11. The corporation uses MACRS depreciation for tax purposes. The corporation purchased all of its equipment on July 1, 2013. Seminole Sports took the maximum amount of ยง179 depreciation (no bonus depreciation). The equipment is all 7 year property. a. Cost of the equipment 645,000 12. Accounts receivable written off by Seminole Sports during the year were 12,900 13. On December 1, 2015 Seminole Sports paid a dividend to its shareholders of 68,800 14. Seminole Sports made four equal estimated tax payments of 55,900 a. If it has overpaid its federal tax liability, Seminole would like to receive a refund. 15. The corporation paid the following compensation to its officers: Austin Williams 240,800 Tyler Jacobs 210,700 Kellie Francis 90,300 Jason Roberts 60,200 16. All officers devote 100% of their time to the business and all officers are U.S. citizens. 17. Neither Kellie nor Jason owns any stock in Seminole Sports. I need to make a tax form 1120 with this information! In addition to schedule D. Here is the balance sheet. Accounts payable 189,200 Accounts receivable 602,000 Accumulated depreciation 322,500 Advertising expense 46,440 Allowance for doubtful accounts 45,537 Bad debt expense 30,100 Capital gains 9,460 Capital stock (common) 774,000 Cash 291,712 Charitable contributions 23,220 Compensation expense 1,118,000 Cost of goods sold 717,240 Depreciation expense 17,200 Dividends (paid) 68,800 Dividends (received) 10,320 Equipment 645,000 Federal income tax expense 215,688 Gain from disposition of fixed assets 3,483 Interest expense 53,320 Interest income 12,900 Inventory 1,462,000 Investments in state & local bonds 120,400 Investments in stock 236,500 Investment in U.S. government bonds 60,200 Land 2,365,000 Maintenance expense 21,500 Meals & entertainment 4,515 Miscellaneous expense 35,260 Mortgage payable 1,324,400 Other assets 232,200 Other current liabilities 103,200 Other liabilities 147,920 Other taxes 48,160 Pension plans expense 36,120 Professional services expense 27,520 Property tax expense 38,700 Retained earnings (1/1/2015) 2,726,200 Sales 2,941,415 Sales returns & allowance 32,680 State income tax expense 51,600 Supplies expense 9,460 $8,610,535 $8,610,535

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