Accounting 31 The following annual income statement is not in accordance with GAAP. The dollar values provided in the instructions are correct. The income statement has errors above and beyond mere presentation issues. You should not assume that subtotals and or the net income are correct. You are required to use knowledge gained throughout this semester to complete this assessment. T In addition to other reporting errors, the following items have not been reported. The income tax rate is 30%. 1 The company incurred a $20,000 gain in settlement of a lawsuit. (Infrequent event) The company incurred a $5,000 loss on the sale of equipment. (Ordinary event.)1 The company incurred a $ 10,000 loss from a "freak polar vortex" that struck the Florida branch office. The company sold a major segment of their operations. They incurred a $70,000 gain from the disposal and $100,000 of net earnings from the segment operations (prior to the sale).1 Report the company's correct basic earnings per share in accordance with GAAP. The company has 200,000 authorized, 120,000 issued, and 100,000 outstanding Determine the proper reporting of the non-recurring items and prepare a corrected multi-step income statement in good form. T Hall Corporation Income Statement December 31, 20XXx Sales!! $500,000 H HA Gain from Sale of Treasury Stockt 15,000 Paid-in-capital in excess of part Total Revenue Less Selling Expense Gross ProfitH H Expenses and Lossest Costs of Goods Sold Sales Returns and Allowancest Sales Discounts# General and Administrative Expense Dividend Expense Total Expensel Net Income!! H Earnings Per Share H 4,000 H $519,000 ER H 65,000 HR # $454,000 HR H H 150,000 2,000 H 3,000 70,000 15,000 HR CH 240,000 A 214,000 H $1.07 H FR ER