BALANCE SHEET AND PROFIT & LOSS
The provided excel file has the statement of financial position and the statement of profit and loss. The statement of financial position (Balance sheet) has been prepared according to GAAP. The total assets of the company are $10,776,996. In the property plant and equipment head, the value of tangible asset has been assumed as the accumulated depreciation has already been deducted from the amount. The data of share capital and the share premium is not provided that is why these figures are not included in the balance sheet.
The statement of profit and loss (P&L) has prepared in the given excel file and it is providing the net loss for the period. The sales are the net sales, which mean that the refunds of sales have been deducted from the gross sales receipt.
TAX WORKING
The tax working is also provided in the excel file, which has started from the net loss for the period and has finished at the taxable loss. Some of the non-deductible tax expenses have been added back as can be seen in the working to reach at the taxable income for the period.
FORM 1120 AND FORM 4562
The form 1120 of income tax return and the form 4562 of the depreciation and amortization have been filled. The relevant fields in the form 1120 has been filled properly, however due to limitation of data some fields are blank like name of the company, activity of the company etc.
The form 4562 has been filled properly after taking some assumption for the properties and the vehicles. It has been assumed that the life for property is 15 years and the vehicle is not in personal use which means that it is used solely for business purpose..........................
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