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Metlock Corp. has 149,160 shares of common stock outstanding. In 2025, the company reports income from continuing operations before income tax of $1,230,600. Additional transactions
Metlock Corp. has 149,160 shares of common stock outstanding. In 2025, the company reports income from continuing operations before income tax of $1,230,600. Additional transactions not considered in the $1,230,600 are as follows. 1. In 2025 , Metlock Corp. sold equipment for $36,300. The machine had originally cost $81,400 and had accumulated depreciation of $30,900. The gain or loss is considered non-recurring. 2. The company discontinued operations of one of its subsidiaries during the current year at a loss of $190,600 before taxes. Assume that this transaction meets the criteria for discontinued operations. The loss from operations of the discontinued subsidiary was $93,400 before taxes; the loss from disposal of the subsidiary was $97,200 before taxes. 3. An internal audit discovered that amortization of intangible assets was understated by $38,100 (net of tax) in a prior period. The amount was charged against retained earnings. 4. The company recorded a non-recurring gain of $127,200 on the condemnation of some of its property (included in the $1,230,600) Analyze the above information and prepare an income statement for the year 2025 , starting with income from continuing operations before income tax. Compute earnings per share as it should be shown on the face of the income statement. (Assume a total effective tax rate of 19% on all items, unless otherwise indicated.) (Round earnings per share to 2 decimal places, e.g. 1.47.) METLOCK CORP. Income Statement (Partial) For the Year Ended December 31, 2025 Income from Continuing Operations $ Income Tax $ $ $ $
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