Prepare a multiple step income statement for the year endeo Chua Motorsports. Income Statement For the Year Endew Sales Cost of merchandise sold Gross profit Operating expenses: : Selling expenses Administrative expenses Total operating expenses Income from operation Other expenses and income: Interest expense Interest revenue Income from contin Income tax expens Income from contin Loss from disposal Less applicable Income before extr Extraordinary item: Gain on conden Less applicable Net income Earnings per common share : Income from continuing operation: Loss on discontived operation Income before extraordinary item; Extraordinary item Net incomeLearning Objective 5 P13-43A Preparing an income statement The following information was taken from the records of Chua Motorsports, Inc. at Net Income $65,500 November 30, 2018: Selling Expenses $ 110,000 Common Stock, $12 Par Value, 10,000 shares authorized and issued $ 120,000 Administrative Expenses 115,000 Preferred Stock, $7 No-Par Value, Income from Discontinued Operations 2,500 7,000 shares issued 490,000 Cost of Goods Sold 510,000 Income Tax Expense: Continuing Treasury Stock-Common (5,000 shares) 75,000 Operations 20,000 Net Sales Revenue 819,000 Income Tax Expense: Income from Discontinued Operations 1,000 Prepare a multi-step income statement for Chua Motorsports for the fiscal year ended November 30, 2018. Include earnings per share.P13-43A CHUA MOTORSPORTS, INC. Income Statement Year Ended November 30, 2018 Net Sales Revenue $ 819,000 Cost of Goods Sold 510,000 Gross Profit 309.000 Operating Expenses: Selling Expenses $ 1 10.000 Administrative Expenses 115.000 225.000 Operating Income 84,000 Other Income and (Expenses): 0 Income Before Income Taxes 84.000 Income Tax Expense 20,000 Income from Continuing Operations 64,000 Discontinued Operations (less applicable tax of $1,000) 1.500 Net Income $ 65.500 Earnings per Share of Common Stock (5,000 shares outstanding): Income from Continuing Operations $ 3.00 Income from Discontinued Operations 0.30 Net Income $3.30 Common Shares Outstanding Earnings per Share of Common Stock: Income from Continuing Operations $64,000 - $49,000 - $15.000 /5,000 $ 3.00 Income from Discontinued Operations $ 1.500 /5.000 0.30 Net Income $65.500 - $49,000 = $16,500 /5.000 $ 3.30 Common stock outstanding = Issued - Treasury = 10,000 shares - 5,000 shares = 5,000 shares Preferred Dividends= 7.000 shares x $7 = $49.000