Selected account balances from the adjusted trial balance for Olinda Corporation as of its calendar year- end December 31 follow. Assume that the company's income tax rate is 40% for all items. a. Interest revenue b. Depreciation expenseEquipment c. Loss on sale of equipment . Accounts payable Other operating expenses . Accumulated depreciationEquipment Gain from settlement of lawsuit . Accumulated depreciationBuildings . Loss from operating a discontinued segment (pretax) . Gain on insurance recovery of tornado damage . Net sales Depreciation expenseBuildings . Correction of overstatement of prior year's sales (pretax) Gain on sale of discontinued segment's assets (pretax) . Loss from settlement of lawsuit Income tax expense . Cost of goods sold (DD. DUOJEHWH-H-ILQ-h Debit $ 34,500 26.350 106.900 18.750 52,500 16. 500 24,253 ? 487,508 Credit $ 14,500 44,500 72.100 44.500 175,500 29,620 1,003,500 36,500 Problem 17-6AA (Algo) Part 2 2a. What is the amount of income from continuing operations before income taxes? 2b. What is the amount of the income tax expense? 2c. What is the amount of income from continuing operations? Selected account balances from the adjusted trial balance for Olinda Corporation as of its calendar year- end December 31 follow. Assume that the company's income tax rate is 40% for all items. Debit Credit a. Interest revenue $ 14,500 b. Depreciation expenseEquipment $ 34.500 c. Loss on sale of equipment 26,350 d. Accounts payable 44,500 e. Other operating expenses 106,900 f. Accumulated depreciationEquipment 72,100 g. Gain from settlement of lawsuit 44.500 h. Accumulated depreciationBuildings 175,500 1. Loss from operating a discontinued segment (pretax) 18,750 j. Gain on insurance recovery of tornado damage 29,620 k. Net sales 1,003,500 1. Depreciation expenseBuildings 52,500 m. Correction of overstatement of prior year's sales (pretax) 16,500 n. Gain on sale of discontinued segment's assets (pretax) 36.500 0. Loss from settlement of lawsuit 24.250 p. Income tax expense ? q. Cost of goods sold 487,500 \\. Problem 17-6AA (Algo) Part 3 3. What is the total amount of after-tax income (loss) associated with the discontinued segment? GD \\ Selected account balances from the adjusted trial balance for Olinda Corporation as of its calendar year- end December 31 follow. Assume that the company's income tax rate is 40% for all items. Debit a. Interest revenue b. Depreciation expenseEquipment $ 34,500 c. Loss on sale of equipment 26,350 d. Accounts payable e. Other operating expenses 106.900 f. Accumulated depreciationEquipment g. Gain from settlement of lawsuit h. Accumulated depreciationBuildings 1. Loss from operating a discontinued segment (pretax) 18,750 j. Gain on insurance recovery of tornado damage k. Net sales 1. Depreciation expenseBuildings 52,500 m. Correction of overstatement of prior year's sales (pretax) 16.500 n. Gain on sale of discontinued segment's assets (pretax) 0. Loss from settlement of lawsuit 24.250 p. Income tax expense ? q. Cost of goods sold 487,500 Problem 17-6AA (Algo) Part 4 4. What is the amount of net income for the year? :| Credit $ 14,500 44,500 72,100 44,500 175,500 29,620 1.003.500 36,500