Exercise 17-18A (Algo) Income statement presentation LO A2

Prepare the December 31 year-end income statement.

Note: Loss amounts should be indicated with a minus sign.

Required information

Use the following information for the Exercies below. (Algo)

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[The following information applies to the questions displayed below.]

In the current year, Randa Merchandising Incorporated sold its interest in a chain of wholesale outlets, taking the company completely out of the wholesaling business. The company still operates its retail outlets. A listing of the major sections of an income statement follows.

	Item	Debit	Credit
1.	Net sales		$ 4,100,000
2.	Gain on state's condemnation of company property		325,000
3.	Cost of goods sold	$ 2,092,000
4.	Income tax expense	307,000
5.	Depreciation expense	328,000
6.	Gain on sale of wholesale business segment, net of tax		1,096,000
7.	Loss from operating wholesale business segment, net of tax	628,000
8.	Loss of assets from meteor strike	905,000

Required information Use the following information for the Exercies below. (Algo) [The following information applies to the questions displayed below.] In the current year, Randa Merchandising Incorporated sold its interest in a chain of wholesale outlets, taking the company completely out of the wholesaling business. The company still operates its retail outlets. A listing of the major sections of an income statement follows. Exercise 17-18A (Algo) Income statement presentation LO A2 Prepare the December 31 year-end income statement. Note: Loss amounts should be indicated with a minus sign