5.1.2 Assignment - U - PROBLEM 1 Cougar Inc S Corp Form...

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PROBLEM 1 - Cougar Inc. S Corp Form 1120S Non-separately stated ordinary income $ 80,000.00 Johnny owns (percentage of Cougar's stock) 40% Tax-exempt interest income $ 3,000.00 Salary paid to Johnny $ (52,000.00) Charitable contributions $ (6,000.00) Dividends received from a non-U.S corporation $ 5,000.00 Short-term capital loss $ (6,000.00) Depreciation recapture income $ 11,000.00 Refund of prior state income taxes $ 5,000.00 Cost of goods sold $ (72,000.00) Long-term capital loss $ (7,000.00) Administrative expenses $ (18,000.00) Long-term capital gain $ 14,000.00 Selling expenses $ (11,000.00) Johnny's beginning stock basis $ 32,000.00 Johnny's additional stock purchases $ 9,000.00 Beginning AAA $ 31,000.00 Johnny's loan to corporation $ 20,000.00 Non-separately stated ordinary income $ 80,000.00 Tax-exempt interest income $ 3,000.00 Charitable contributions $ (6,000.00) Dividends received from a non-U.S corporation $ 5,000.00 Short-term capital loss $ (6,000.00) Refund of prior state income taxes $ 5,000.00 Long-term capital loss $ (7,000.00) Long-term capital gain $ 14,000.00 $ 88,000.00 Johnny owns 40% Jonny's beginning stock basis $ 32,000.00 Non-separately stated ordinary income $ 32,000.00 Tax-exempt interest income $ 1,200.00 Charitable contributions $ (2,400.00) Dividends received from a non-U.S corporation
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