Thomas Wong, accountant for APB Bikes Ltd., was injured in a biking accident. Another employee prepared the

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Thomas Wong, accountant for APB Bikes Ltd., was injured in a biking accident. Another employee prepared the income statement shown on the next page for the fiscal year ended September 30, 2014.
The individual amounts listed on the income statement are correct. However, some accounts are reported incorrectly, and others do not belong on the income statement at all. Also, income tax (25 percent) has not been applied to all appropriate figures. APB Bikes Ltd. issued 30,000 common shares in 2009 and has not issued or repurchased common shares since that date. The Retained Earnings balance, as originally reported at September 30, 2013, was $660,000. There were no preferred shares outstanding at September 30, 2014.
Thomas Wong, accountant for APB Bikes Ltd., was injured in

Required
Prepare a corrected combined statement of income and retained earnings for fiscal year 2014; include earnings per share. Prepare the income statement portion in single step format.

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Accounting

ISBN: 978-0132690089

9th Canadian Edition volume 2

Authors: Charles T. Horngren, Walter T. Harrison Jr., Jo Ann L. Johnston, Carol A. Meissner, Peter R. Norwood

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