Business, 12.03.2021 15:50 marklynr9955

The following information for 2019 relates to Sparrow Corporation, a calendar year, accrual method taxpayer: Net income per books (after-tax) $205,050
Federal income tax expense per books 55,650
Tax-exempt interest income 4,500
MACRS depreciation in excess of straight-line
depreciation used for financial statement purposes 7,200
Excess of capital losses over capital gains 9,400
Nondeductible meals and entertainment 5,500
Interest on loan to purchase tax-exempt bonds 1,100
a. Regarding items that would be added back on the M–1 schedule, label either "Yes" (it would be added back to net income per books) or "No" (it would not be).
• Federal income tax expense per books
• Excess of capital loss over capital gains
• Tax-exempt interest income
• Excess of MACRS over book depreciation
• Interest on loan to purchase tax-exempt bonds
• Nondeductible meals and entertainment
b. Sparrow's taxable income for 2019 is $.
c. Prepare Schedule M–1 for 2019.
Enter all amounts as positive numbers. If an amount is zero, enter "0".
Schedule M-1 Reconciliation of Income (Loss) per Books With Income per Return
1 Net income (loss) per books . . . . . . . . . . . . .
2 Federal income tax per books . . . . . . . . . . . .
3 Excess of capital losses over capital gains . . .
4 Income subject to tax not recorded on books this year (itemize):_ _ _ _ _ _ _ _ _ _ _ _ _
_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _
5 Expenses recorded on books this year not deducted on this return (itemize):
a Depreciation . . . . . . . . . . . $
b Charitable contributions . . . $ _ _ _ _ _ _ _
c Travel and entertainment . . $
6 Add lines 1 through 5 . . . . . . . . . . . . . . . . . .
7 Income recorded on books this year not included on this return (itemize):
Tax-exempt interest $
_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _
_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _
8 Deductions on this return not charged against book income this year (itemize):
a Depreciation . . . . . . . . . . . $
b Charitable contributions . . . . $ _ _ _ _ _ _ _ _
_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _
_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _
9 Add lines 7 and 8 . . . . . . . . . . . . . . . . . . . . .
10 Income (page 1, line 28)—line 6 less line 9 . .

Answers: 1

Show answers

Another question on Business

Business, 21.06.2019 21:40

Morgana company identifies three activities in its manufacturing process: machine setups, machining, and inspections. estimated annual overhead cost for each activity is $168,000, $315,900, an $97,200, respectively. the cost driver for each activity and the expected annual usage are number of setups 2,100, machine hours 24,300, and number of inspections 1,800. compute the overhead rate for each activity. machine setups $ per setup machining $ per machine hour inspections $ per inspection

Answers: 1

Answer

Business, 22.06.2019 02:10

The federal reserve's organization while all members of the federal reserve board of governors vote at federal open market committee (fomc) meetings, only of the regional bank presidents are members of the fomc. the federal reserve's role as a lender of last resort involves lending to which of the following financially troubled institutions? u.s. banks that cannot borrow elsewhere governments in developing countries during currency crises u.s. state governments when they run short on tax revenues the federal reserve's primary tool for changing the money supply is . in order to decrease the number of dollars in the u.s. economy (the money supply), the federal reserve will government bonds.

Answers: 1

Answer

Business, 22.06.2019 14:00

Bayside coatings company purchased waterproofing equipment on january 2, 20y4, for $190,000. the equipment was expected to have a useful life of four years and a residual value of $9,000. instructions: determine the amount of depreciation expense for the years ended december 31, 20y4, 20y5, 20y6, and 20y7, by (a) the straight-line method and (b) the double-declining-balance method. also determine the total depreciation expense for the four years by each method. depreciation expense year straight-line method double-declining-balance method 20y4 $ $ 20y5 20y6 20y7 total $

Answers: 3

Answer

Business, 23.06.2019 01:40

The new york times (nov. 30, 1993) reported that “the inability of opec to agree last week to cut production has sent the oil market into turmoil . . [leading to] the lowest price for domestic crude oil since june 1990.” why were the members of opec trying to agree to cut production? so they could save more oil for future consumption so they could lower the price so they could raise the price why do you suppose opec was unable to agree on cutting production? because each country has a different production capacity because each country experiences different production costs because each country has an incentive to cheat on any agreement the newspaper also noted opec’s view “that producing nations outside the organization, like norway and britain, should do their share and cut production.” what does the phrase “do their share” suggest about opec’s desired relationship with norway and britain? opec would like norway and britain to keep their production levels high. opec would like norway and britain to act competitively. opec would like norway and britain to join the cartel.

Answers: 2

Answer

You know the right answer?

The following information for 2019 relates to Sparrow Corporation, a calendar year, accrual method t...

Questions