Problem 4 (10 points)

The trial balance of Kroeger Inc. included the following accounts as of December 31, 2021:

Sales revenue 8,200,000

Interest revenue 60,000

Gain on sale of investments 120,000

Gain on debt securities 140,000

Loss on projected benefit obligation 160,000

Cost of goods sold 6,100,000

Selling expense 600,000

Goodwill impairment loss 500,000

Interest expense 30,000

General and administrative expense 500,000

The gain on debt securities represents the increase in the fair value of debt securities and is classified a component of other comprehensive income. Kroeger had 300,000 shares of stock outstanding throughout the year. Income tax expense has not yet been recorded. The effective tax rate is 25%.

Required: Prepare a 2021 single, continuous statement of comprehensive income for Kroeger Inc. Use a multiple-step income statement format.

Problem 4 (10 points) The trial balance of Kroeger Inc, included the following accounts as of December 31, 2021: The gain on debt securities represents the increase in the fair value of debt securities and is classified a component of other comprehensive income. Kroeger had 300,000 shares of stock outstanding throughout the year. Income tax expense has not yet been recorded. The effective tax rate is 25%. Required: Prepare a 2021 single, continuous statement of comprehensive income for Kroeger Inc. Use a multiple-step income statement format