E4.6B (L0 2,3) (Multiple-step and Extraordinary Items) The following balances were taken from the books of Schimank

Corp. on December 31, 2020:
Interest revenue	$ 120,400	Accumulated depreciationequipment	$ 56,000
Cash	71,400	Accumulated depreciationbuilding	39,200
Sales	1,932,000	Notes receivable	217,000
Accounts receivable	210,000	Selling expenses	271,600
Prepaid insurance	28,000	Accounts payable	238,000
Sales returns and allowances	210,000	Bonds payable	140,000
Allowance for doubtful		Administrative and general
Accounts	9,800	expenses	135,800
Sales discounts	63,000	Accrued liabilities	44,800
Land	140,000	Interest expense	84,000
Equipment	280,000	Notes payable	140,000
Building	196,000	Loss from earthquake damage	210,000
Cost of goods sold	869,400	Common stock	700,000
		Retained earnings	29,400

In addition, the company has a gain from the operations of a discontinued segment, before tax, of $3,000 and a loss on disposal of a segment, before tax, of $5,000. Assume the total effective tax rate on all items is 20%.

Instructions

Prepare a multiple-step income statement; 100,000 shares of common stock were outstanding during the year.