Part B

1cash ? 2 Interest expense 6,000 3 Impairment of goodwill 25,000 4 Accumulated depreciation-building & equipment 35,000 5 Accounts receivable 150,000 6 Interest revenue 3,000 7 Bonds payable 1,500,000 8 Tax Payable 9,500 9 Unearned Sales revenue 1,200 10 Allowance for doubtful accounts 5,000 11 Copyrights 30,000 12 Unrealized holding gains on trading securities 15,000 13 Debt Investments (trading securities) 515,000 14 Sales returns and allowances 153,000 15 Sales revenue 3,010,000 16 Cost of goods sold 632,000 17 Land 50,000 18 Building and Equipment 340,000 19 Available-for-sale securities (current) 155,000 20 Selling & General Admin expenses 200,800 21 Unrealized holding losses on available-for-sale securities 11,000 22 Goodwill 450,000 23 Accounts payable 192,000 24 Work in Process 10,000 25 Supplies 15,000 26 Loss on discontinued operations, after tax 14,000 27 Premium on bonds payable 2,000 28 Dividend payable 17,000 29 Unrealized gain on cash flow hedge 12,000 30 Prepaid Other Operating Expense 25,000 31 Dividend declared 24,000 32 Finished goods Inventory 150,000 33 Accumulated other comprehensive income, beginning balance b 35,000 34 Treasury, beginning balance 0 35 Preferred stock, par value $50 per share, beginning balance 200,000 36 Common stock, par value $2 per share, beginning balance 200,000 37 Paid in capital in excess of par, beginning balance 800,000 38 Retained earnings, beginning balance 15,00

The balances above were taken from the books of Parnevik Corp. on December 31, 2019, otherwise noted. Beginning balance refers to balance on 1/1/2019. Note: 1. For cash, use A = L+E 2. 5% cumulative preferred stock, $50 par value, 4,000 shares issued and outstanding, preferred dividend is cumulative. No preferred stock was issued during 2019. 3. Preferred dividend has been paid until 2017. No preferred dividend has been paid in 2018. 4. All the common stock has $2 par value. 5. 100,000 shares issued and zero treasury stock on 1/1/2019. 6. 50,000 shares are issued on 4/1/2019 for $750,000. 7. 4,000 shares are repurchased on 12/1/2019, the company paid $50,000 and it uses cost method for treasury method accounting. 8. Assume the total effective tax rate on all items is 20%. Required: A. Prepare multiple step income statement for the year 2019. Keep in mind that presentation is very important. B. Make sure to show work clearly for ending balance of the following account. B1. Cash B2. Preferred stock B3. Common stock B4. Paid in capital of in excess of par - Common stock B5. retained earnings, treasury B6. Accumulated other comprehensive income. C. Prepare classified balance sheet as of 12/31/2019. Keep in mind that presentation is very important D. Determine basic earnings per share for the year 2019. Show numerator and denominator for EPS clearly. E. Determine comprehensive income for the year 2019. Show work clearly. F. Determine book value per share on 12/31/2019. Show numerator and denominator clearly.