verum toque Required Information Problem 13-6AA Income statement computations and format LO A2 [The following information applies to the questions displayed below) Selected account balances from the adjusted trial balance for Olinda Corporation as of its calendar year-end December 31, 2017, follow. Debit $ Credit 14,400 $ 34,400 26,250 44,400 106,800 72,000 44,400 175,300 a. Interest revenue b. Depreciation expense-Equipment. c. Loss on sale of equipment d. Accounts payable e. Other operating expenses f. Accumulated depreciation Equipment 9. Gain from settlement of lawsuit h. Accumulated depreciation-Buildings i. Lons from operating a discontinued segment (pretax) 1. Gain on insurance recovery of tornado damage k. Net salen 1. Depreciation expense-Buildings m. Correction of overstatement of person your sales (pretax) n. Gain on sale of discontinued segments at pretax o. Los from settlement of lawsuit p. Income taxes expense 9. Cost of goods sold 18,650 29,520 1,002,500 52,400 16,400 36,000 24,150 2 486,500 Problem 13-6 Part 2 Return to question Problem 13-6 Part 2 2a. What is the amount of income from continuing operations before Income taxes? 2b. What is the amount of the income taxes expense? 2c. What is the amount of Income from continuing operations? Answer is not complete Complete this question by entering your answers in the tabs below. Reg 2A Reg 28 Reg 20 What is the amount of income from continuing operations before Income taxes? Income from continuing operations before taxes IS 315,920 Reg 28 Prov 10 11 12 of 12!!! Next > Problem 13-6 Part 2 2a. What is the amount of income from continuing operations before Income taxes? 2b. What is the amount of the income taxes expense? 2c. What is the amount of Income from continuing operations? Answer is not complete. Complete this question by entering your answers in the tabs below. Reg 2A Ret 20 Req 2c What is the amount of the income taxes expense? Income taxes expense 126,368 Problem 13-6 Part 2 2a. What is the amount of income from continuing operations before income taxes? 2b. What is the amount of the Income taxes expense? 2c. What is the amount of income from continuing operations? Answer is not complete. Complete this question by entering your answers in the tabs below. Req 2A Req 28 Rel 20 What is the amount of income from continuing operations? Income from continuing operations after taxes the Work you have completed so far. It does not indicat completion. Return to questio 1. Depreciation expense-Buildings m. Correction of overstatement of prior year's sales (pretax) n. Gain on sale of discontinued segment's assets (pretax o. Loss from settlement of lawsuit p. Income taxes expenso 9. Cost of goods sold 52,400 16,400 36,000 24,150 2 486,500 Problem 13-6 Part 1 Required: 1. Assume that the company's income tax rate is 40% for all items. Compute the tax effects and after-tax amounts of the three items labeled pretax. Answer is complete and correct. Pretax After-Tax 40% Tax Effect 7,460 18,650 11,190 Loss from operating a discontinued segment Correction of overstatement of prior year's sales Gain on sale of discontinued segment's assets 16,400 6.560 9,840 36,000 14.400 21,600