Prepare the fiscal year 2018 financial statements (Multiple-Step Income Statement, Retained Earnings Statement, and the Classified Balance Sheet.

Additional Information:

During fiscal year 2018 Midwest Mechanical sold one of their key divisions. The following information has been provided for this discontinued operation. See below.

Sold the Plastics Division on October 15, 2018 $4,000,000 Loss from operations of discountinued plastic division from January 1, 2018 through October 15, 2018.

$8,500,000 Gain from sale of the plstics division on October 15, 2018.

Note: The operating loss of $4 million and gain from the sale of 8.5 million are both pre-tax amounts. The company C.F.O. has determined that a 35% tax rate should be applied.

Midwest Mechancial Corporation Adjusted Trial Balance December 31, 2018 Credit $ Debit 3,875,000 3,150,000 $ 70,000 100,000 25,000 4,500,000 10,375,000 3,780,000 1,500,000 350,000 550,000 2,500,000 5,000,000 4,124,000 Cash Accounts Receivable Allowance for Doubtful Accounts Prepaid Insurance Short-Term Note Receivable Inventory Equipment Accumulated Deperciation - Equipment Building Accumulated Deperciation - Building Land Long-Term Investments Patent Goodwill Accounts Payable Salaries and Wages Payable Bond Payable - Long Term Mortgage Payable Common Stock Par $ 0.01 APIC Retained Earnings Dividends - Common Sales Revenue Sales Discounts Sales Returns and Allowances Cost of Goods Sold Selling Expenses Administrative Expenses Interest Income Loss Due to Storm Damage Interest Expense Income Tax Expense Discontinued Operations - Gain (see details below) 3,650,000 24,000 5,000,000 1,750,000 10,000 990,000 12,050,000 $ 500,000 35,000,000 $ $ $ 325,000 610,000 17,750,000 4,950,000 2,925,000 85,000 $ $ $ 75,000 150,000 2,700,000 $ $ 2,925,000 65,684,000 $ 65,684,000 $