Bonus homework 2Income Computations

Presented below is information related to Denis Company at December 31, 2020, the end of its first year of operations. Assuming income tax rate is 20% for Denis Company.

Sales revenue $775,000

Cost of goods sold 350,000

Selling and administrative expenses 125,000

Gain on sale of plant assets 75,000

Unrealized gain on available-for-sale investments 25,000

Interest expense 15,000

Loss on discontinued operations 30,000

Allocation to noncontrolling interest 100,000

Dividends declared and paid 12,000

Instructions

Compute the following: (a) income from operations

(b) net income

(c) net income attributable to Denis Company's controlling stockholders

(d) comprehensive income

(e) retained earnings balance at December 31, 2020.