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The following information is related to Bramble Company for 2020. Bramble Company decided to discontinue its entire wholesale operations (considered a discontinued operation) and to
The following information is related to Bramble Company for 2020.
Bramble Company decided to discontinue its entire wholesale operations (considered a discontinued operation) and to retain its manufacturing operations. On September 15, Bramble sold the wholesale operations to Rogers Company. During 2020, there were 500,000 shares of common stock outstanding all year.
Problem 4-01 The following information is related to Bramble Company for 2020. Retained earnings balance, January 1, 2020 $1,136,800 Sales Revenue 29,000,000 Cost of goods sold 18,560,000 Interest revenue 81,200 Selling and administrative expenses 5,452,000 Write-off of goodwill 951,200 Income taxes for 2020 1,443,040 Gain on the sale of investments 127,600 Loss due to flood damage 452,400 Loss on the disposition of the wholesale division (net of tax) 510,400 Loss on operations of the wholesale division (net of tax) 104,400 Dividends declared on common stock 290,000 Dividends declared on preferred stock 92,800 Bramble Company decided to discontinue its entire wholesale operations (considered a discontinued operation) and to retain its manufacturing operations. On September 15, Bramble sold the wholesale operations to Rogers Company. During 2020, there were 500,000 shares of common stock outstanding all year. BRAMBLE COMPANY Income Statement For the Year Ended December 31, 2020 Prepare a retained earnings statement. (List items that increase retained earnings first.) BRAMBLE COMPANY Retained Earnings StatementStep by Step Solution
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