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Cramer Corporation, a calendar year, accrual basis corporation, reported $1.05 million of net income after tax on its 2020 financial statements prepared in accordance with GAAP. The corporation's books and records reveal the following information: Cramer's federal income tax expense per books was $201.000. Cramer's book income included $11.000 of dividends received from a domestic corporation in which Cramer owns a 25 percent stock interest, and $4,500 of dividends from a domestic corporation in which Cramer owns a 5 percent stock interest. Cramer recognized S11,000 of capital losses this year and no capital gains. . Cramer recorded $8,600 of book expense for meals and $10.500 of book expense for entertainment costs. Cramer's depreciation expense for book purposes totaled $401,000. MACRS depreciation was $475,000 Required: 6. Compute Cramer's federal taxable income and regular tax liability. b. Prepare a Schedule M-1, page 6. Form 1120, reconciling Cramer's book and taxable income. Cramer Corporation, a calendar year, accrual basis corporation, reported $1.05 million of net income after tax on its 2020 financial statements prepared in accordance with GAAP. The corporation's books and records reveal the following information: Cramer's federal income tax expense per books was $201.000. Cramer's book income included $11.000 of dividends received from a domestic corporation in which Cramer owns a 25 percent stock interest, and $4,500 of dividends from a domestic corporation in which Cramer owns a 5 percent stock interest. Cramer recognized S11,000 of capital losses this year and no capital gains. . Cramer recorded $8,600 of book expense for meals and $10.500 of book expense for entertainment costs. Cramer's depreciation expense for book purposes totaled $401,000. MACRS depreciation was $475,000 Required: 6. Compute Cramer's federal taxable income and regular tax liability. b. Prepare a Schedule M-1, page 6. Form 1120, reconciling Cramer's book and taxable income

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