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Saved Required information [The following information applies to the questions displayed below.) Selected account balances from the adjusted trial balance for Olinda Corporation as
Saved Required information [The following information applies to the questions displayed below.) Selected account balances from the adjusted trial balance for Olinda Corporation as of its calendar year-end December 31 follow. a. Interest revenue b. Depreciation expense-Equipment c. Loss on sale of equipment d. Accounts payable e. Other operating expenses f. Accumulated depreciation-Equipment - Gain from settlement of lawsuit h. Accumulated depreciation-Buildings 1. Loss from operating a discontinued segment (pretax) d. Gain on insurance recovery of tornado damage k. Net sales 1. Depreciation expense-Buildings . Correction of overstatement of prior year's sales (pretax) n. Gain on sale of discontinued segment's assets (pretax) o. Loss from settlement of lawsuit p. Income tax expense q. Cost of goods sold Debit Credit $ 15,700 $ 35,700 27,550 45,700 108,100 73,300 45,700 177,500 19,950 30,820 1,015,500 53,700 17,700 42,500 25,450 499,500 Assume that the company's income tax rate is 40% for all items. Compute the tax effects and after-tax amounts of the three items labeled pretax
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