Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The preliminary 2021 Income statement of Alexlan Systems, Inc., is presented below: 1 1 25 points ALEXIAN SYSTEMS, INC. Income Statement For the Year Ended

image text in transcribedimage text in transcribed

The preliminary 2021 Income statement of Alexlan Systems, Inc., is presented below: 1 1 25 points ALEXIAN SYSTEMS, INC. Income Statement For the Year Ended December 31, 2021 ($ in millions, except earnings per share) Revenues and gains: Sales revenue $ 440 Interest revenue 9 Other income 131 Total revenues and gains 580 Expenses : Cost of goods sold 250 Selling and administrative expense 154 Income tax expense 44 Total expenses 448 Net Income $ 132 eBook Print Earnings per share $13.20 References Additional Information: 1. Selling and administrative expense Includes $31 million in restructuring costs. 2. Included in other Income is $125 million in Income from a discontinued operation. This consists of $90 million in operating Income and a $35 million gain on disposal. The remaining $6 million is from the gain on sale of Investments 3. Cost of Goods Sold in 2021 was Increased by $10 million to correct an error in the calculation of 2020's ending Inventory. The amount is material. Required: Prepare a revised Income statement for 2021 reflecting the additional facts. Use a multiple-step format. Assume that an income tax rate of 25% applies to all Income statement Items, and that 10 million shares of common stock were outstanding throughout the year. (Enter your answers in millions rounded to 2 decimal places. Round EPS answers to 2 decimal places.) ALEXIAN SYSTEMS, INC. Income Statement For the Year Ended December 31, 2021 ($ in millions except per share date) Gross profit Operating expenses: Total operating expenses Operating income Other income: Total other income Income from continuing operations before income taxes Income from continuing operations Discontinued operations: Income on discontinued operations Net income Earnings per share: Net income

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting Principles

Authors: Jerry J. Weygandt, Valerie A. Kinnear, Donald E. Kieso, Paul D. Kimmel, Barbara A. Trenholm, Joan E. Barlow

6th Canadian Edition

1118557301, 978-1118557303

More Books

Students also viewed these Accounting questions

Question

Show that Im (iz) = Re (z)

Answered: 1 week ago

Question

1. Who is your target audience? (everyone cannot be an answer here)

Answered: 1 week ago

Question

What problems have created the client's needs?

Answered: 1 week ago

Question

create simple design pieces exhibiting visual and rhetorical focus.

Answered: 1 week ago