(TCO C)Presented below is information related to Tidal Wave Company.

Retained earnings, December 31, 20X2

$ 2,350,000

Sales

2,600,000

Selling and administrative expenses

240,000

Earthquake loss (pre-tax) on plant (extraordinary item)

250,000

Cash dividends declared on common stock

53,600

Cost of goods sold

1,000,000

Gain resulting from computation erroron depreciation charge in 2009 (pre-tax)

520,000

Other revenue

80,000

Other expenses

50,000

Instructions: Prepare in good form a multiple-step income statement for the year 20X2. Assume a 30% tax rate and that 100,000 shares of common stock were outstanding during the year. (Points : 40)