Forward Inc.'s book income of $739,000 includes a net long-term capital loss of $42,000 and charitable contribution of $170,000. Taxable income shown on the Schedule M-1 would be:

Question

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To calculate the taxable income shown on Schedule M-1 for Forward Inc., we start with the book income of $739,000. We then need to adjust for the net long-term capital loss and the charitable contribution, as these are treated differently for tax purposes compared to book purposes. The net long-term capital loss of $42,000 is not deductible for tax purposes, so we add it back to the book income. The charitable contribution deduction is limited to 10% of taxable income before the deduction. However, without knowing the taxable income before the deduction, we cannot precisely adjust for it here. Assuming the question intends for us to ignore the limitation or has provided all necessary adjustments, we would simply adjust for the net long-term capital loss. Therefore, the taxable income shown on Schedule M-1 would be $739,000 + $42,000 = $781,000. However, given the options provided and the typical adjustments for Schedule M-1, it seems there might be a misunderstanding in the calculation or the question's intent. Based on the options given and common adjustments, adding back the net long-term capital loss to the book income does not match any of the provided answers directly without considering the charitable contributions adjustment. Since none of the calculations directly lead to the answers given without further information, and based on the standard approach to adjusting book income for tax purposes, there seems to be a discrepancy in the explanation or the question's details.