Crumble Inc., a calendar year C-Corporation, and accrual method taxpayer, provides the following information and...
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Crumble Inc., a calendar year C-Corporation, and accrual method taxpayer, provides the following information and asks you to prepare a Schedule M-1. Complete the assignment using the actual Schedule M-1 form (for 1120 C-Corporation). You can obtain this schedule at www.irs.gov or in your book, Appendix B Form 1120. You should use the excel file (journal entries) to determine the M-1 adjustments. The excel file should be turned in as well. (5 points)
Net Income per Book: $300,000
Federal Income Tax Paid: $25,000
Tax Exempt Interest Income: $1,500
Excess capital loss $8,000 (capital loss in excess of capital gains for the year)
Book Depreciation $85,000 depreciation taken for book (financial statement)
Tax Depreciation $300,000 depreciation taken on the tax return
Total business meals expense $10,000
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