For each of the items listed below, indicate how it should be treated on the Income and Equity Statements. Use the following letter code for your selections:

A. Ordinary Operations

B. Non-operations, or Unusual Items but not Extraordinary

C. Discontinued Operations

D. Extraordinary Items

E. Included in Statement of Changes of Retained Earnings

F. Included in Accumulated Comprehensive Income

18. Obsolete inventory of $100,000 was written off. This is approximately the same amount that has been written off the past four years.

19. Because of Kaitlin Hewitsons continuous bad driving, the company is readjusting the estimated life of the two vehicles used in the business from 10 years to 6 years. Thus, Depreciation Expense will be $10,000 higher this year. Where would the extra $10,000 be recorded?

20. There is a $2,000,000 gain on the disposal of a segment of the business.

21. The company sold a building for a realized gain of $1,000,000. Where would the $1,000,000 be recorded?

22. Where would unrealized losses of $40,000 of Available-for-Sale Securities be recorded?

23. This category is disallowed by the International Accounting Standards Board.

24. The company declared but did not pay $2,000,000 of preferred stock cash dividends this year.

25. Accounts Payable decreased $40,000 from last year.