The income statement for Weatherford International Inc.'s year ended December 31, 2020, was prepared by an inexperienced bookkeeper. As the new accountant, your immediate priority is to correct the statement. All amounts included in the statement are before tax (assume a rate of 40%). The company had 105,000 common shares issued and outstanding throughout the year, as well as 21,000 shares of $1.20 cumulative preferred shares issued and outstanding. Retained earnings at December 31, 2019, were $331,300.

Weatherford International Inc.

Income StatementDecember 31, 2020

Revenues:

Sales$1,164,500

Gain on sale of equipment14,900

Interest income6,820

Gain on sale of plant142,100

Operating profit on discontinued operation29,290 $1,357,610

Expenses:

Cost of goods sold$353,000

Selling and administrative expenses182,500

Sales discounts12,010

Loss on sale of discontinued operation36,500

Dividends125,000 709,010

Profit $648,600

Earnings per share$6.18

Required:

a) corrected income statement, including earnings per share information.(Negative answers should be indicated by a minus sign in the other revenues and expenses section and the discontinued operations section. Round the "Earnings per Share" answers to 2 decimal places.

b) Calculate

Earnings per share of common shares outstanding

Profit from continue operations:

Loss from discontinue operations:

Profit: