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Based on the Michigan Instructions for Schedule 1, Line 1 is calculated as follows:  

Line 1: Residents enter nonbusiness gross interest, dividends, and income from obligations or securities of states and their political subdivisions other than Michigan.  Residents and nonresidents report non-Michigan municipal business income from a partnership, S corporation, estate, or trust with Michigan business activity. Business income subject to apportionment must be included on the
Michigan Schedule of Apportionment (MI-1040H). You may reduce this income by related expenses not allowed as a deduction by Section 265(a)(1) of the Internal Revenue Code (IRC).

For your particular case using information from your token file, here is the calculation for Line 1:

Total tax-exempt interest reported on Form 1099-INT, box 8:  31,775 (all states including MI)

Tax-exempt interest reported on Form 1099-INT, box 8 attributed to MI:  10,750  (33.832% of the total)

Tax-exempt interest reported on Form 1099-INT, box 8 attributed to states other than MI:  21,025  (66.168% of the total)

Total bond premium reported on Form 1099-INT, box 13:  14,580.52 

Bond premium attributed to states other than MI:  (14,580.52 X 0.66168) = 9647.64

Total tax-exempt OID reported on Form 1099-OID attributed to IN:  1459.47

Total exempt-interest dividends reported on Form 1099-DIV box 12:  8939.24

Exempt-interest dividends reported on Form 1099-DIV box 12 attributed to MI:  80.84

Exempt-interest dividends reported on Form 1099-DIV box 12 attributed to states other than MI:  8858.40

Total tax-exempt interest income reported on K-1 Trust, box 14 code A:  223

Total tax-exempt interest income reported on K-1 Trust, box 14 code A attributed to MI:  12

Total tax-exempt interest income reported on K-1 Trust, box 14 code A attributed to states other than MI:  211
 

Using the underlined values:

Line 1 = 21,025 + 1459.47 + 8858.40 + 211 - 9647.64 = 21,906.23 ... rounded to 21,906

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