McGraw-Hill's Taxation of Individuals and Business Entities 3rd Edition by Brian Spilker, Benjamin Ayers, John Robinson, Edmund Outslay, Ronald Worsham, John Barrick, Connie Weaver

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Compute MV, Corp.s 2011 taxable income given the following information relating to its year 1 activities.Also, compute MV's Schedule M-1 assuming that MV's federal income tax expense for book purposes is $100,000.•?Gross profit from inventory sales of $500,000 (no book-tax differences).•?Dividends MV received from 25 percent owned corporation of $100,000.assume this is also MV's pro rata share of the distributing corporation's earnings).•?Expenses other than DRD, charitable contribution (CC), net operating loss (NOL), and domestic production activities deduction (DPAD) are $350,000 (no book-tax differences).•?NOL carryforward from prior year of $10,000.•?Cash charitable contribution of $120,000.•?Domestic production activities deduction of $5,000 (wage limitation does not apply).