Howell Corporation

INCOME STATEMENT

December 31, 2019

Sales revenue895,000

Interest revenue19,500

Cost of Goods sold(408,500)

Selling expenses(145,000)

Administrative expense(215,000)

Interest expense (13,000)

Income before special item133,000

Special item

Loss on disposal of a component of the business(40,000)

Net income tax liability(27,900)

Net income65,100

Instructions

Prepare a income statement for 2019 for Howell Corporation that is presented in accordance with IFRS (including format and terminology). Howell Corporation has 50,000 CommonStocks Outstanding and has a 30% income tax rate on all tax related items.