Preparing a Multiple-Step Income Statement with Earnings Per Share Disclosure The following amounts are taken from the accounting records of Trans Corp. at December 31, its annual year-end. Sales revenue Service revenue Cost of goods sold Selling and administrative expenses Investment revenue Interest expense Infrequent item: loss on sale of long-term vestment Loss due to fire damage Cash dividends declared and paid Prior period adjustment, correction of error from prior period, pretax (a debit) Balance, retained earnings, December 31, prior year Common stock (par $5) outstanding Average income tax rate on all items $680,000 128,000 340,000 172,000 12,000 8,000 20,000 28,000 16,000 24,000 160,600 60,000 shares 25% Required a. Prepare a multiple-step income statement, including tax allocation and earnings per share disclosure. Assume that service revenue is nonoperating. Note: Use a negative sign only with any expenses or losses in the Other revenues and (expenses) section.