Jerry Thomas operates a consulting business, Jerry Enterprises, as a sole proprietorship. He had to transfer $200,000 of stocks and securities into Jerry Enterprise's name to show financial viability for the business. During the current year, the business had the following income and expenses from operations:
Consulting revenue 250,000
Travel expenses 80,000
Transportation 6,000
Advertising 9,000
Office expense 3,000
Telephone 1,000
Dividend income 6,000
Interest income 3,000
Charitable contribution 1,000
Political contribution 6,000
Requirements
Determine the Schedule C net income. How are items not included in the Schedule C net income reported?
Refer to the information in the preceding problem, except that Jerry and his wife Mary are equal partners in Jerry Enterprises, which operates as a partnership. How would they report the income and loss items from partnership operations?
Refer to the information in the problem, except that Jerry operates Jerry Enterprises as an S corporation. How would Jerry report the income and loss items from S corporation operations?