Question
Problem 1 Income Statement The partial trial balance of Rollins Inc. included the following accounts as of December 31, 2018: Debits Credits Sales revenue 5,100,000
Problem 1 Income Statement
The partial trial balance of Rollins Inc. included the following accounts as of December 31, 2018:
Debits | Credits | |||
Sales revenue | 5,100,000 | |||
Interest revenue | 36,000 | |||
Loss on sale of investments | 10,000 | |||
Unrealized holding losses on investments | 110,000 | |||
Foreign currency translation adjustment | 220,000 | |||
Cost of goods sold | 3,680,000 | |||
Selling expenses | 320,000 | |||
Restructuring costs | 140,000 | |||
Interest expense | 20,000 | |||
General and administrative expenses | 220,000 | |||
Rollins had 100,000 shares of stock outstanding throughout the year. Income tax expense has not yet been accrued. The effective tax rate is 40%. Required: Prepare a 2018 multiple-step income statement for Rollins Inc. with earnings per share disclosure. Some of the items listed above may not be needed for the income statement. (Amounts to be deducted should be indicated with a minus sign. Round EPS answer to 2 decimal places.)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-text-image.webp)
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Step: 3
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started