Reformulating Balance Sheet and Income Statement for an Asset Disposal

In $2015,$ Winnebago Industries recorded an impairment loss of $$291,000$ on its corporate plane. We wish to reformulate the company$$s income statement and balance sheet under the assumption that the plane had been used for the prior five years$$see Analyst Adjustments $6\mathrm{.}2$ for guidance. The company$$s tax rate is $30\%.$

a$.$ For the income statement, identify with numbers the adjustments for each of the five years $2011-2015$ for:

Loss on disposal

Depreciation

Tax expense

Net income

Use a negative sign with your answer to indicate an adjustment decreases the account.

Income Statement Adjustments $20112012201320142015$

Loss on disposal $($reversal$)$ Answer $1$

$0$

Tax Expense $($reversal$)$ Answer $2$

$0$

Net Income $($reversal$)$ Answer $3$

$0$

Depreciation Answer $4$

$0$

Answer $5$

$0$

Answer $6$

$0$

Answer $7$

$0$

Answer $8$

$0$

Tax Expense Answer $9$

$0$

Answer $10$

$0$

Answer $11$

$0$

Answer $12$

$0$

Answer $13$

$0$

Net income $($adjustment$)$ Answer $14$

$0$

Answer $15$

$0$

Answer $16$

$0$

Answer $17$

$0$

Answer $18$

$0$

Total net income $($reversal $+$ adjustment$)$ Answer $19$

$0$

Answer $20$

$0$

Answer $21$

$0$

Answer $22$

$0$

Answer $23$

$0$

b$.$ For the balance sheet, identify with numbers the adjustments for each of the five years $2011-2015$ for:

Accumulated depreciation

Deferred tax

Retained earnings

Use a negative sign with your answer to indicate an adjustment decreases the account.

Balance Sheet Adjustments $20112012201320142015$

Accumulated depreciation Answer $24$

$0$

Answer $25$

$0$

Answer $26$

$0$

Answer $27$

$0$

Answer $28$

$0$

Deferred tax liability Answer $29$

$0$

Answer $30$

$0$

Answer $31$

$0$

Answer $32$

$0$

Answer $33$

$0$

Retained Earnings Answer $34$

$0$

Answer $35$

$0$

Answer $36$

$0$

Answer $37$

$0$

Answer $38$

$0$