Selected information about income statement accounts for the Reed Company is presented below (the company's fiscal year ends on December 31): 2021 2020 $5,400,000 $4,500,000 3,060,000 1,000,000 560,000 170,000 Sales revenue 2,200,000 Cost of goods sold Administrative expense Selling expense 875,000 502,000 160,000 240,000 Interest revenue 240,000 128,000 Interest expense Loss on sale of assets of discontinued component On July 1, 2021, the company adopted a plan to discontinue a division that qualifies as a component of an entity as defined by GAAP. The assets of the component were sold on September 30, 2021, for $128,000 less than their book value. Results of operations for the component (included in the above account balances) were as follows: 1/1/2021-9/30/2021 2020 $ 700,000 (440,000) (60,000) (40,000) $600,000 (390,000) (70,000) (40,000) Sales revenue Cost of goods sold Administrative expense Selling expense 100,000 160,000 Operating income before taxes In addition to the account balances several events occu not yet been reflected in the above during 2021 that accounts: 1. A fire caused $70,000 in uninsured damages to the main office building. The fire was considered to be an unusual event. 2. Inventory that had cost $60,000 had become obsolete because a competitor introduced a better product. The inventory was written down to its scrap value of $7,000. 3. Income taxes have not yet been recorded Required: Prepare a multiple-step income statement for the Reed Company for 2021, showing 2020 information in comparative format, including income taxes computed at 25% and EPS disclosures assuming 800,000 shares of outstanding common stock. (Amounts to be deducted should be indicated with a minus sign. Round EPS answers to 2 decimal places.) REED COMPANY Comparative Income Statements For the Years Ended December 31 2020 2021 Gross profit (loss) 0 0 Operating expenses: Total operating expenses 0 0 Operating income 0 Other income (expense): Total other income, net Income from continuing operations before income taxes Income from continuing operations 0 Discontinued operations: Income (loss) on discontinued operations 0 $ 0 Net income Earnings per share: Net income