Winkin, Blinkin, and Nod are equal shareholders in SleepEZ, an S corporation. In the conditions listed below, how much income should each report from SleepEZ for 2023 under both the daily allocation and the specific identification allocation methods? Refer to the following table for the timing of SleepEZ's income. Period January 1 through February 28 (58 days) February 29 through December 31 (307 days) January 1 through December 31, 2023 (365 days) Income $ 152,000 418,000 $ 570,000 Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount. b. On February 28, 2023, Blinkin sells his shares to Nod. Income Reported Daily Allocation Specific Identification Method Method Winkin Blinkin Nod
Winkin, Blinkin, and Nod are equal shareholders in SleepEZ, an S corporation. In the conditions listed below, how much income should each report from SleepEZ for 2023 under both the daily allocation and the specific identification allocation methods? Refer to the following table for the timing of SleepEZ's income. Period January 1 through February 28 (58 days) February 29 through December 31 (307 days) January 1 through December 31, 2023 (365 days) Income $ 152,000 418,000 $ 570,000 Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount. b. On February 28, 2023, Blinkin sells his shares to Nod. Income Reported Daily Allocation Specific Identification Method Method Winkin Blinkin Nod
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Winkin, Blinkin, and Nod are equal shareholders in SleepEZ, an S corporation. In the conditions listed below, how much
income should each report from SleepEZ for 2023 under both the daily allocation and the specific identification
allocation methods? Refer to the following table for the timing of SleepEZ's income.
Period
January 1 through February 28 (58 days)
February 29 through December 31 (307 days)
January 1 through December 31, 2023 (365 days)
Income
$ 152,000
418,000
$ 570,000
Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount.
b. On February 28, 2023, Blinkin sells his shares to Nod.
Income Reported
Daily
Allocation
Specific
Identification
Method
Method
Winkin
Blinkin
Nod
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