Chapter 13 Assignment (6Qs) i Saved Help Save & Exit Submit 5 The income statement for Weatherford International Inc.'s year ended December 31, 2020, was prepared by an inexperienced bookkeeper. As the new accountant, your immediate priority is to correct the statement. All amounts included in the statement are before tax (assume a rate of 25%). The company had 102,000 common shares issued and outstanding throughout the year, as well as 20,400 shares of $1.20 cumulative preferred shares issued and outstanding. Retained earnings at December 31, 2019, were $329,800. Weatherford International Inc. 15 Income Statement points December 31, 2020 Revenues : Skipped Sales $1, 157, 000 Gain on sale of equipment 14, 600 Interest income 6,760 Gain on sale of plant 141, 800 eBook Operating profit on discontinued operation 29,140 $1, 349,300 Expenses : Print Cost of goods sold $ 350,000 Selling and administrative expenses 181, 000 Sales discounts 11, 860 Loss on sale of discontinued operation 36, 200 Dividends 122,000 701, 060 Profit $ 648, 240 Earnings per share $ 6.36 Required: Prepare a corrected income statement, including earnings per share information. (Negative answers should be indicated by a minus cimM in the Ather PAUARIAS and AURAPAP PAPtian and the discontinuing AnArations Faction DANIng the "Earnings MAP CharAll Mc Graw 5 of 6 Hill EducationChapter 13 Assignment [605) 0 Saved Help Save & Exit Submit .'equ..=u. Prepare a corrected income statement, including earnings per share information. (Negative answers should be indicated by a minus sign in the other revenues and expenses section and the discontinued operations section. Round the "Earnings per Share" 5 answers to 2 decimal places.) 15 pal nts skipped eBoDk Pnnl Discontinued operatiuns __ Chapter 13 Assignment (6Qs) i Saved Help Save & Exit Submit 5 Discontinued operations: 15 points Skipped eBook Print Earnings per share of common shares outstanding Profit from continuing operations Loss from discontinued operations Profit Mc Graw EducationCanComp Corporation Income Statement For Year Ended December 31, 2011 Net sales ..zsazsazsazsaassassin $8,440,000 Cost of goods sold . 5,950,000 Gross profit ........sasser $2,490,000 Operating expenses .....seats!" 570,000 Operating income ....sears $1,920,000 Other revenues and expenses: 1 Continuing Loss on relocating a plant ......assessassesstestassesseassetsstifffirsttiti! (45,000) operations Income from continuing operations before income tax ....... $1,875,000 Income tax expense ....zsazsazsazsaassassin 397,000 Income from continuing operations ......*4:" $1,478,000 Discontinued operations: Income from operating Division A (net of $180,000 income taxes) $ 420,000 Loss on disposal of Division A (2) Discontinued (net of $66,000 tax benefit)..... (154,000) 266,000 operations Net income .......assess $1,744,000 Earnings per common share (200,000 outstanding shares): Income from continuing operations ........... $7.39 (3) Earnings Income from discontinued operations ...=414assassins 1.33 per share Net income (earnings per share) ........ $8.72
