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Presented below is information related to Donaldson Corp., for the year 2017. Net sales $1,950,000 Cost of goods sold 1,200,000 Selling expenses 95,000 Administrative expenses
Presented below is information related to Donaldson Corp., for the year 2017.
Net sales | $1,950,000 | ||
Cost of goods sold | 1,200,000 | ||
Selling expenses | 95,000 | ||
Administrative expenses | 70,000 | ||
Dividend revenue | 30,000 | ||
Interest revenue | 20,000 | ||
Interest expense | 45,000 | ||
Write-off of goodwill due to impairment | 75,000 | ||
Depreciation expense omitted in 2015 | 105,000 | ||
Dividends declared | 120,000 | ||
Effect on prior years of change in accounting principle (credit) | 220,000 | ||
Loss from operations of discontinued component of business | 240,000 | ||
Gain from disposal of component of business | 300,000 | ||
Federal tax rate of 30% on all items |
Prepare a multiple-step income statement for 2017. Assume the 200,000 shares of common stock were outstanding during 2017. (Round earnings per share to 2 decimal places, e.g. 5.25.)
INCOME STATEMENT For the Year Ended December 31, 2017 Net Sales to 1950000 Cost of Goods Sold (1200000) Gross Profit 750000 Operating Expenses Selling Expenses (95000) Administrative Expenses (70000) Other Revenues and Gains 585000 Dividend Revenue 30000 Interest Reven 20000 635000 Other Expenses and Losses 45000 Loss Due to WRITE HOEG Goch 75000 Income Before Incene Tour -515000 INCOME STATEMENT For the Year Ended December 31, 2017 Net Sales to 1950000 Cost of Goods Sold (1200000) Gross Profit 750000 Operating Expenses Selling Expenses (95000) Administrative Expenses (70000) Other Revenues and Gains 585000 Dividend Revenue 30000 Interest Reven 20000 635000 Other Expenses and Losses 45000 Loss Due to WRITE HOEG Goch 75000 Income Before Incene Tour -515000 Income berce Income Tax 1515000 Discontinued Operations Loss from Operations of Discontinued Component of Business V (168000) Gain from Disposal of Component of Business 210000 42000 Net Income /(Loss) 40.2500 Per share of common stock: Income from Continuinosations 1.8 Discontinued Operations 21 Earnings Per Cameron Share 2.01 e Textbook and Media
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