Question

I need to make a multi step income statement using the following data

Net sales                                                                                               $1,950,000

Cost of goods sold                                                                                 1,200,000

Selling expenses                                                                                         95,000

Administrative expenses                                                                            70,000

Dividend revenue                                                                                        30,000

Interest revenue                                                                                           20,000

Interest expense                                                                                          45,000

Loss on write-off of goodwill due to impairment                                    75,000

Depreciation expense omitted in 2015                                                  105,000

Dividends declared on common stock                                                  120,000

Loss from operations of discontinued component of business         240,000          

Gain from disposal of component of business                                    300,000

there are 200,000 shares and a tax rate of 30% please show all work w/ explanation if possible

Answer 1

	Net Sales		1,950,000
	Cost of Goods Sold		(1,200,000)
	Gross Profit		750,000
	Operating Expenses
	Selling Expenses	(95,000)
	Administrative Expenses	(70,000)
			(165,000)
	Income From Operation		585,000
	Other Revenue and gains:
	Dividend Revenue	30,000
	Interest Revenue	20,000
			50,000
			635,000
	Other Expenses and losses:
	Interest Expenses	(45,000)
	Loss on write-off of goodwill due to impairment	(75,000)
			(120,000)
	Income Before Income Taxes		515,000
	Income Tax Expenses(30%)		(154,500)
	Income from Continuing Operations		360,500
	Discontinuing Operations
	Loss from operations of discontinued component of business-net	(168,000)
	(240000 X .70)
	Gain from disposal of component of business -net	210,000
	(300000 X 0.70)		42,000
	Net Income		402,500
	Earning Per Share
	No Of Shares	200,000
	Income from Continuing Operations	360,500	1.80	(360500/200000)
	Income from Discontinuing Operations	42,000	0.21	(42000/200000)
	Earning Per Share		2.01