John acquired the McGuire Law Firm. In a previous video, I talked about the basic accounting equation, which states that assets equal liabilities plus equity. A good place to examine this equation is the Schedule L on the 1120s form. This schedule provides a balance sheet that outlines the corporation's assets at the beginning and end of the year, as well as its liabilities and equity for shareholders. In the video, we used the example of a home to illustrate this concept. When looking at a tax return, particularly for an S corporation, it's helpful to refer to Schedule L on the 1120s. You can access this form online, and it serves as a balance sheet. Remember, everything should balance out according to the assets equal liabilities plus equity equation. If you have any questions, please don't hesitate to contact our law firm. Thank you very much.
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Video instructions and help with filling out and completing Can Form 1120 Schedule M 3 Portion
