Following are accounts and balances, in random order, from the adjusted trial balance of Deck Corp. at Decem$-$

ber $31.$ Debits equal credits, all amounts are correct, all accounts have normal balances, and a perpetual FIFO

inventory system is used.

Required

a$.$ Prepare a single$-$step income statement including the earnings per share disclosure.

b$.$ Prepare a classified balance sheet.

c$.$ Assume that between December $31$ and issuance of the financial statements, a flood damaged the finished

goods inventory in an amount estimated to be $$20,000.$ This event has not been $($and should not have been$)$

recognized in the current year statements. However, disclosure in the current year's statements is required.

Prepare the necessary disclosure.