Brock Inc. reported income from continuing operations before taxes during 2022 of $2,225,000. Additional transactions occurring in 2022 but not considered in the $2,225,000 are as follows. Again of $111,000 (pretax) as a result of selling securities from its investment portfolio. 2. A $27,000 loss before taxes as a result of operating the discontinued clothing division during 2022. 5. At the beginning of 2021, the corporation purchased a machine for $210,000 (salvage value of $30,000) that had a useful life of 10 years. The bookkeeper used straight-line depreciation for 2022, but failed to deduct the salvage value in computing the depreciation base. 6. The corporation decided to change its method of inventory pricing from average-cost to the FIFO method. The effect of this change on prior years is to increase 2020 income by $60,000 and decrease 2020 income by $20,000 before taxes. The FIFO method has been used for 2022. Prepare an income statement for the year 2022 starting with income from continuing operations before taxes. Compute earnings per share as it should be shown on the face of the income statement. Ordinary shares outstanding for the year total 500,000. (Assume a tax rate of 30% on all items.) (Round earnings per share to 2 decimal places, e.g. 1.48 and all other answers to 0 decimal places, e.g. 5,275). BROCK INC. Income Statement (Partial) $ Question 1 of 2 -/50 TA Per ordinary share: $ Per ordinary snare: $ $ The following is the retained earnings account for the year 2022 for Kingbird Corp. Retained earnings, January 1, 2022 Add: Gain on sale of investments Net income Refund on litigation with government Recognition of income in 2021, but omitted from statement in that year Deduct: Loss on discontinued operations Write-off of goodwill Cumulative effect on income of prior years in ch. average-cost to FIFO inventory valuation in 20: Cash dividends declared Retained earnings, December 31, 2022 The following is the retained earnings account for the year 2022 for Kingbird Corp. $309,080 $49,360 101,400 25,880 nitted from income 30,320 206,960 516,040 42,000 72,000 rears in changing from tion in 2022 27,960 38,400 180,360 $335,680 (a) Prepare a corrected retained earnings statement. (Ignore income tax effects.) FIFO inventory was used in 2022 to compute net income. (List items that increase adjusted retained earnings first.) KINGBIRD CORP. Retained Earnings Statement S s e Textbook and Media