BE E Instructions Data taken from the accounting records of Sherri's Designs on December 31 are shown. Operating expenses $1.000 Sales revenue 5.000 Inventory, Jan. 1, 2019 1.600 Purchases 1.200 Interest revenue 250 Loss on disposal of a discontinued component of the business (pre-tax) 400 Inventory, Dec 31, 2019 750 Income tax expense 660 Sherri's Designs has 2.000 shares of common stock outstanding and net income per share for 2019 was $0.63. The income tax rate is 30%. Required: a. Prepare a single-step income statement b. Prepare a multiple-step income statement Income Statement For the Year Ended December 31, 2019 1 Revenues: 12 Sales revenue $5,000.00 Interest revenue 250.00 Total revenues $5,250.00 $ Expenses: 16 Operating expenses $1,000.00 Finished goods inventory.January 1, 2019 (1,600.00) Purchases (1.200.00) 19 Finished goods inventory, December 31, 2019 (750.00) $660.00 10 Income tax expense 400.00 Loss on the disposal of a discontinued component $1,140.00 1. Net income Points: 11.52 / 22 Question not attempted. Earnings per Components of Income Common Share (2,000 shares) I Sh Points 0/6 nstructions Income Statements Da Income Statement For the Year Ended December 31, 2019 1 Sales revenue $5,000.00 2 Cost of goods sold: B Finished goods inventory, January 1, 2019 $1,600.00 Purchases 1,200.00 5 Finished goods inventory, December 31, 2019 $2,050.00 Gross profit 2.950.00 Operating expenses 1.000.00 Sh 3 Operating income $1,950.00 income tax expense 660.00 Pretax income from continuing operations $1.290.00 11 Other revenue: interest revenue 250.00 $400.00 $ Loss on the disposal of a discontinued component 1140.00 4 Net income Sh Points: 10.42 / 31 Question not attempted. Components of Income Earnings per Common Share (2000 shares) 4