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need help asap For 20x1, Silvertip Construction, Inc., reported Income from continuing operations (after tax) of $1,650,000. On November 15, 20x1, the company adopted a
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For 20x1, Silvertip Construction, Inc., reported Income from continuing operations (after tax) of $1,650,000. On November 15, 20x1, the company adopted a plan to dispose of a component of the business. This component qualifies for discontinued operations treatment. During 20X1, the component had pre-tax operating losses of $95,000. The component's assets had a book value of $760,000 on December 31, 20X1. A recent market value analysis of these assets placed their estimated selling price at $735,000, less a 6% brokerage commission Management appropriately determines that these assets are impaired and expects to find a buyer for the component and complete the sale early in 20x2. Required: Prepare a partial income statement for Silvertip including EPS disclosures for the year ended December 31, 20X1. Begin at income from continuing operations. Assume a 21% Income tax rate and 1,000,000 shares of outstanding common stock. (Round your answers to 2 decimal places under "Earnings per share") Answer is not complete. Silvertip Construction, Inc. Partial Income Statement For the Year Ended December 31, 20X1 Income from continuing operations Discontinued operations Loss from operation of held for sale business component, net of tax benefit Impairmentloss on held for sale component, net of tax benefit $ 1,650,000 OO 61,750 44,915 Net income $ 1,543,335 1.65 Eamings per share Income from continuing operations Discontinued operations: Loss from operation of held for sale business component niet of tax benefit Impairment loss on hold for sale component, net of tax benefit olo (0.06) 0.04 Step by Step Solution
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