Refer to the data given for St. Gelais Corporation in BE14–6. Assume that the profit before income tax of $320,000 is from $500,000 of revenue and $180,000 of operating expenses. Prepare an income statement.

Refer Data in BE14-6,

St. Gelais Corporation reported the following pre-tax amounts for the year ended August 31, 2014: profit before income tax (on the company’s continuing operations), $320,000; loss from operations of discontinued operations, $85,000; and gain on disposal of assets of discontinued operations, $60,000. St. Gelais is subject to a 20% income tax rate.