Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Che The preliminary 2021 income statement of Alexian Systems, Inc., is presented below. ALEXIAN SYSTEMS, INC. Income Statement For the Year Ended December 31, 2021

image text in transcribed
image text in transcribed
image text in transcribed
Che The preliminary 2021 income statement of Alexian Systems, Inc., is presented below. ALEXIAN SYSTEMS, INC. Income Statement For the Year Ended December 31, 2021 ($ in millions, except earnings per share) Revenues and gains: Sales revenue $ 578 Interest revenue 21 Other income 119 Total revenues and gains 718 Expenses: Cost of goods sold 288 Selling and administrative expense Income tax expense 57 Total expenses 547 Net Income $ 171 Earnings per share $17.10 202 Additional information: 1. Selling and administrative expense includes $44 million in restructuring costs 2. Included in other income is $110 million in income from a discontinued operation. This consists of $90 million in operating income and a $20 million gain on disposal. The remaining $9 million is from the gain on sale of investments. 3. Cost of goods sold was increased by $10 million to correct an error in the calculation of 2020's ending inventory. The amount is material Che Required: Prepare a revised income statement for 2021 reflecting the additional facts. Use a multiple-step format. Assume that an income tax rate of 25% applies to all income statement items, and that 10 million shares of common stock were outstanding throughout the year. (Enter your answers in millions rounded to 2 decimal places. Round EPS answers to 2 decimal places.) ALEXIAN SYSTEMS, INC. Income Statement For the Year Ended December 31, 2021 ($ in millions except per share date) Gross profit Operating expenses Total operating expenses Operating income Other income 0.00 0.00 Tatal atharinema non Total operating expenses Operating income Other income: 0.00 0.00 0.00 Total other income Income from continuing operations before income taxes 0.00 Income from continuing operations Discontinued operations: 0.00 0.00 Income on discontinued operations Net income Earnings per share: Net income

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Intermediate Accounting Volume 2

Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Irene M. Wiecek, Bruce J. McConomy

13th Canadian Edition

1119740444, 9781119740445

More Books

Students also viewed these Accounting questions

Question

Which statement is True about the traceroute command?

Answered: 1 week ago

Question

Compare and contrast long-term and short-term orientation cultures

Answered: 1 week ago

Question

Discuss the research behind the notion of a pancultural self

Answered: 1 week ago