- Complete Alvin’s Music Inc.’s (AMI) 2012 Form 1120, Schedule D, and Schedule G (if applicable) using the information provided below.
- Neither Form 4562 for depreciation nor Form 4797 for the sale of the equipment is required. Include the amount of tax depreciation and the tax gain on the equipment sale given in the problem (or determined from information given
in the problem) on the appropriate lines on the first page of Form 1120.
- Assume that AMI does not owe any alternative minimum tax.
- If any information is missing, use reasonable assumptions to fill in the gaps.
- The forms, schedules, and instructions can be found at the IRS Web site
(www.irs.gov). The instructions can be helpful in completing the forms.