Leave Income Tax Expense and Income Tax Savings blank on the Trial Balance until you calculate them on the income statement.
									27
Holister Electric Inc.						14 Marks	0
Adjusted Trial Balance
December 31, 2021
Account Title				Debit	Credit
Cash				$9,255
Accounts Receivable				$37,600
Interest Receivable
Prepaid Insurance				$19,960
Short-Term Investment - Daenerys Inc.				$76,800
Short-Term Investments - Bonds				$26,400
Valuation Allowance for Fair Value Adjustment
Inventory				$105,200
Investment in Gregor Inc. Common shares
Long-Term Investment - Bond
Discount on Bonds
Property, Plant & Equipment				$270,000
Accumulated Depreciation					$69,000	689
Accounts Payable					$152,000	14,625
Interest Payable
Unearned Revenue					$10,000
Premium on Bonds
Bonds Payable
Bank Loan					$146,000
Common Shares
Preferred Shares
Retained Earnings					$82,560
Interest Revenue
Revenue from Investment in Gregor Inc.
Unrealized Gain on Fair Value Adjustment
Income Tax Savings - Discontinued Operations
Sales Revenue					$777,000
Sales Discounts				$10,400
Sales Returns and Allowances				$19,700
Cost of Goods Sold				$349,650
Depreciation Expense				$40,000
Insurance Expense				$6,600
Interest Expense				$24,074
Loss from Discontinued Operations				$172,000
Maintenance Expense				$25,000
Professional Fees Expense				$9,800
Rent Expense				$48,600
Salaries Expense				$89,200
Telephone Expense				$4,200
Travel Expense				$33,400
Income Tax Expense - Continuing Operations
Unrealized Loss on Fair Value Adjustment
Total				$1,871,101	$1,871,101	$1,377,839		$1,377,839
Notes:						$1,236,560
The bank loan is payable over 5 years and $29,200 will be paid by December 31, 2022. The interest on this loan is 6% per annum.
									$146,000	29200	5	6
Prepare a multistep income statement for the year ending December 31, 2021. Round answers to the nearest whole number.
														29 Marks	0
Holister Electric Inc.
Income Statement
For the Year Ended December 31, 2021