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Total liabilities ano snarerrurutrD svu', PARTNERSHIP TAX RETURN PROBLEM Required: Using the information provided beloW complete Arlington Building...

I am working on the partnership tax return and I have some problems. Can you please help?
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Total liabilities ano snarerrurutrD svu', PARTNERSHIP TAX RETURN PROBLEM Required: . Using the information provided beloW complete Arlington Building Supplyt (ABS] 2010 Form l06jand Schedule D. Also complete Jerry Johnson and Steve Stillwell's Schedule K-1' . Form 4562 for depreciation is not required. use the amount of tax depreciation ana $tll expense provided in the income statement and the
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C-14 Appendix C information in #4belorv to complete the appropriate iines on the first page and on Schedule K of the Form 1065. ' Fotm 4797 for the sale of trade or business property is not required. Use the amount of garn and loss from the sale of the truck and forkiifls in the income statement and the information provided in #4 and #5 below to complete the appropriate lines on the firsr page and on schedule K of the Form 1b65. ' If any information is missing, use reasonabie assumptions to fill in any gaps. ' The forms, schedules, and instructions can be found at the IRS web site ( The instructions can be helpful in completing the forms. Facts: on January 1, 2000, trvo enterprising men i' the community, Jerry Johnson and Steve "Swiss" Stillwell, anticipated a boom in the local consiruction industry. They decided to sell their small businesses and pool their resources as general partneis in establishing a retail outlet for lumber and other building materi-als, inciuding a complete line of specralty hardware for prefab tree-houses. Tf,eir general partnerstip was officialiy formed under the name of Arlington Building Supply and soon became a thriving business. ' ABS is located at2114 progress Ave., Arrington,Ilfinois 64gg8. . ABS's Employer Identification Number is 9l-36979g4. ' ABS's business activity is retail construction. Its business activity code is 444190. . Both general partners are active in the managenent of ABS. ' Jerry Johnson's sociai Security number is 500-23-4976. His address is 3l w Oak Drive, Ariington, IL 6488g. ' Steve Stillwell's Social Security number is 374-68-38 42. His address is 947 E. Linder Street, Arlington, IL 64ggg. ' ABS uses the accruai method of accounting and has a calendar year-end. The following is ABS's 2010 income statemenr: ABI lncome Statement For year ending December 31, 2010 Sales (on account) Less: Sales returns Cost of goods sold Gross profit on sales 0perating expenses Salaries and wages (including partners' guaranteed payments) Propeny taxes Payroll taxes Depreciation and 129 expense Adveftising Bad debt expense Office expense Repairs Mlscellaneous Fire insurance Net operating income $410,000 -20,000 $ 79,000 1,600 2,450 40,062 2,000 3,850 1,800 2,150 tF'n 4,850 $390,000 -_1q9p99 $240,000 138,212 $ 10 1,788
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