#2 (13 points) Prepare a multi-step income statement (using good form) for the Christensen Corporation. Christensen Corporation had the following items on Dec. 31, 2021, prior to closing entries (note this is a partial list of all accounts in the adjusted trial balance): Sales Revenues Cost of Goods Sold Retained Earnings Inventory Accrued Wages Payables 25,000 $4,000,000 $1,600,000 $700,000 Admistrative Expenses $350,000 Prepaid Rent $ 85,000 $ 100,000 Investments $ 45,000 Interest Revenue $ 3,000 Selling Expenses $ 120,000 Allow for Doubtful Acct $ 1,600 Accum. Depr.-Equip. $390,000 Unearned Rent Revenue S 5,000 The appropriate tax rate for all income statement items is 30% for all items. (1) You have discovered that for the years 2020, 2021, Christensen Corporation's bookkeeper erroneously computed depreciation of a building. The correct amount of depreciation expense was $80,000 per year, but the bookkeeper recorded $40,000. Depreciation Expense is shown as part of Administrative Expenses. (2) The company discontinued a business segment. The net loss during the year was $80,000 before taxes, and the company disposed of assets with a book value of $200,000 and a fair value of $100,000. It does qualify for treatment as a discontinued operations (3) The company had 1,000,000 shares of stock outstanding during the year. Show EPS for all appropriate amounts. Shading Problem #2 (13 points) Prepare a multi-step income statement (using good form) for the Christensen Corporation. Christensen Corporation had the following items on Dec. 31, 2021, prior to closing entries (note this is a partial list of all accounts in the adjusted trial balance): Accrued Wages Payables 25,000 Sales Revenues Cost of Goods Sold $4,000,000 $1,600,000 Admistrative Expenses $350,000 Retained Earnings $ 700,000 Prepaid Rent $ 85,000 Inventory $ 100,000 Investments $ 45,000 Allow for Doubtful Acct $ 1,600 Interest Revenue $ 3,000 Accum. Depr Equip. $390,000 Unearned Rent Revenue S 5,000 Selling Expenses $ 120,000