16) Below is a list of account balances for Fraggle Company:

Cash	$ 123,500
Cost of Goods Sold	767,500
Gross Profit	507,500
Income before taxes	233,400
Income tax expense	?
Interest expense	14,700
Interest revenue	5,600
Inventory	113,460
Net Income	?
Number of Common Shares	150,000
Operating expenses	265,000
Operating Income	242,500
Property, plant, and equipment (net)	255,000
Receivables (net)	96,000
Sales (net)	1,275,000

What is Fraggle Company's net income, assuming a 30% tax rate?

$242,500

$233,400

$163,380

None of these answer choices are correct.

17) The major components of the income statement are listed below: A = revenues B = income from continuing operations C = earnings per share D = results from discontinued operations E = operating income In what sequence do they normally appear on the income statement?

B-D-C-D-E

E-B-A-C-D

A-E-B-D-C

B-A-E-D-C

18) Which of the following are components of the income statement?

results from discontinued operations

revenues

income from continuing operations

All of these choices are correct.