Golden Corp.’s records show the following information at its December 31 accounting year-end.

 

Assume that the company also incurred an unusual and infrequent loss of $30,000 for restructuring of its operations. 

Compute the following subtotals that are shown in a multiple-step income statement for Golden Corp. Assume an income tax rate of 25%.

a. Gross profit

b. Operating income

c. Income before income taxes 

d. Income tax expense 

e. Net income
 

Sales revenue Gain on sale of investment Selling expenses General and administrative expense $540,000 Interest expense 24,000 Loss on sale of patent 42,000 Cost of goods sold 78,000 $12,000 3,600 360,000