solving Question (5 Marks) On December 31, 2018 an analysis of the accounts and discussions with company officials of Herald Corp revealed the following information: Sales Loss on discontinued operations (net of tax) Selling expenses Cash Accounts receivable Share capital Accumulated depreciation Dividend revenue Unearned service revenue 1000,000 28,000 128,000 60,000 90,000 200,000 180,000 8,000 4,400 Accrued interest payable 1,000 Land 370,000 Patents 100,000 Interest expense 10,000 General and administrative expenses 150,000 Allowance for doubtful accounts 5,000 Prepaid insurance 3,000 Machinery and equipment 450,000 651,000 60,000 Cost of goods sold Accounts payable The amount of income taxes applicable to ordinary income was 10,600, excluding the tax effect of the discontinued operations loss which amounted to 12,000. Instructions (a) Prepare an income statement