Business Finance Homework Help

Use the following information for JKEB Corporation to complete pages 1 through 3 of the 2020 Form 1120.

Address: 1994 Lincoln St, Township, FL 34691

Employer Identification Number: 98- 325465

Date Incorporated: 01-01-11

Accounting Method: Accrual

JKEB Corporation’s activities are focused more on sporting goods than apparel. They are not a subsidiary of another corporation and no entity owns more than 20% of JKEB Inc.

Total Assets – $2,250,000

Total Receipts/Sales – $3,750,000

Returns and Allowances – $187,500

Cost of Goods Sold – $950,000

Dividends from less than 20% owned investees – $300,000

Dividends from 20% or more owned investees – $15,000

Interest – $5,000

Income from store vending machines – $1,500

Salaries and Wages – $150,000

Bad Debts – $12,500

Rent – $40,000

Charitable contributions during 2020 – $2,000

Advertising – $5,000

Repairs – $2,750

Tax Deposits during 2020 – $110,000

NOTE:

Check numbers for the 1120:

Line 4: $315,000

Line 28: $2,721,750

Line 33: $10,000

Part D in the top: Total Assets: $2,250,000.

The DRD is not limited.

The net short-term gain is $10,000 ($20,000 gain -$10,000 loss).

https://www.irs.gov/pub/irs-pdf/f1120.pdf