Jack And Jill Accounting Help Needed Today.
| UpAHill Corporation (an S Corporation) | ||
| Income Statement | ||
| December 31, Year 1 and Year 2 | ||
| Year 1 | Year 2 | |
| Sales revenue | $175,000 | $310,000 |
| Cost of goods sold | (60,000) | (85,000) |
| Salary to owners Jack and Jill | (40,000) | (50,000) |
| Employee wages | (15,000) | (20,000) |
| Depreciation expense | (10,000) | (15,000) |
| Miscellaneous expenses | (7,500) | (9,000) |
| Interest income | 2,000 | 2,500 |
| Dividend income | 500 | 1,000 |
| Overall net income | $ 45,000 | $134,500 |
50. (LO3) Jack and Jill are owners of UpAHill, an S corporation. They own 25 and 75 percent, respectively.
a. What amount of ordinary income and separately stated items are allocated to them for years 1 and 2 based on the information above?
b. Complete UpAHill’s Form 1120S, Schedule K, for year 1.
c. Complete Jill’s 1120S, Schedule K-1, for year 1.