AS IRS

Jeff,

Not sure if you want to discuss. Looks OK to submit to the IRS. There are a few minor issues, such as whether they are really on the accrual basis or hybrid (accrual as required for CS, but cash basis for other expenses), and whether the $20,000 potential change from "Fabrication expense" to "inventory" will require an adjustment. Overall it looks like an appropriate standard response to a routine audit. I'm OK with them just sending it in and waiting to see how much a stickler the IRS will be, but if you would like me to touch base with Jay Kim I can do that.

Alan