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Multiple step income statement The company's total shareholders' equity as of 12/31/2020 is $1,777,000Common stock; par...

Multiple step income statement

The company's total shareholders' equity as of 12/31/2020 is $1,777,000Common stock; par value of $2; Auth 500,000 and issued/outstanding 100,000 @ an average issue price of $4.75. Accumulted other comprehensive income is $180,000. The balance in shareholders' equity is retained earnings.

During 2021: Sales revenue $880,000, interest revenue $30,000 ; rent revenue $160,000; Dividend Revenue $80,000; sales Returns & Allowances $25,000; Sales discounts $70,000; COGS $350,000; Selling exp $100,000; General Administrative expenses $80,000; Interest expense $70,000; Loss on sale of Investments $60,000; Restructuring Costs $75,000; Gain on sale of compenant that qualifies as a discontinued ops $150,000; Write down of inventory $50,000; foreign currency translation gain $20,000; unrealized gain in value of land $50,000;.Unrealized gain in the value of patents $50,000; unrealized loss in value of available for sale securities $60,000

Prepare a statement of comprehensive income utilizing the multiple step income statement approach

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The company's
Multiple step income statement Amount $ Amount $
Sales       880,000.00
Less: Sales Returns & Allowances        (25,000.00)
Less: Sales Discounts        (70,000.00)
Net Sales Revenue       785,000.00
Less: Cost of Goods Sold       350,000.00
Gross profit       435,000.00
Less: Operating expenses
Selling expense       100,000.00
Administrative expense         80,000.00
Total Operating expenses       180,000.00
Operating income       255,000.00
Other income (expenses)
Interest revenue         30,000.00
Rent revenue       160,000.00
Dividend revenue         80,000.00
Loss on sale of investments        (60,000.00)
Restructuring Costs        (75,000.00)
Write down of inventory        (50,000.00)
Foreign currency translation gain         20,000.00
Interest expense        (70,000.00)         35,000.00
Income from continuing operations       290,000.00
Add: Gain on sale of component that qualifies as a discontinued ops       150,000.00
Net income       440,000.00
Other comprehensive income
Unrealized gain in value of land        (50,000.00)
Unrealized gain in value of patents        (50,000.00)
Unrealized loss in value of available for sale securities        (60,000.00)
Total comprehensive income (loss)     (160,000.00)
Comprehensive Net Income       280,000.00
Net Income       440,000.00
Common share outstanding       100,000.00
Earnings per share                   4.40

ekkarill92 answered 2 years ago
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