The following account balances were included in the adjusted trial balance of Spyder Inc.

at September 30, 2020. All accounts have normal balances:

Additional information:
The company follows IFRS and its income tax rate is 30%. On September 30, 2020, the number of common shares outstanding was 124,000 and no changes to common shares during the fiscal year. The depreciation error was due to a missed month-end accrual entry at August 31, 2019.
Required:

a. Prepare a multiple-step income statement in good form with all required disclosures by function and by nature for the year ending September 30, 2020.

b. Prepare a statement of changes in equity in good form with all required disclosures for the year ended September 30, 2020.

c. Prepare a single-step income statement in good form with all required disclosures by nature for the year ending September 30, 2020, assuming this time that the dividends declared account listed in the trial balance are for preferred shares instead of common shares.

d. Assuming that Spyder also recorded unrealized gains for FVOCI investments through OCI of $25,000, prepare a statement of comprehensive income for the company.

Transcribed Image Text:

Accumulated depreciation, office furniture 25,000 Accumulated depreciation, sales equipment 80,000 Accumulated Other Comprehensive Income 162,000 Allowance for doubtful accounts 2,500 Cost of goods sold 1,500,478 Common shares 454,000 Depreciation expense, office furniture 10,150 Depreciation expense, sales equipment 6,972 Depreciation expense, understatement due to error - 2019 24,780 Dividend revenue 53,200 Dividends declared on common shares 12,600 Entertainment expense 20,748 Freight-out 40,502 Gain on sale of land 78,400 Interest expense 25,200 Loss on disposal of discontinued operations - Aphfflek Division 49,000 Miscellaneous operating expenses (administrative) 6,601 Retained earnings 215,600 Salaries and wages expense - office staff 78,764 Sales commissions expense 136,640 Sales discounts 21,000 Sales returns and allowances 87,220 Sales revenue 2,699,900 Supplies expenses (administrative) 4,830 Telephone and Internet expense (administrative) 3,948 Telephone and Internet expense (sales) 12,642