Whispering Inc. reported Income from Continuing Operations before taxes during $2025$ of $$793,700.$ Additional transactions

occurring in $2025$ but not considered in the $$793,700$ are as follows.

The corporation experienced an uninsured flood loss in the amount of $$91,900$ during the year.

At the beginning of $2023,$ the corporation purchased a machine for $$70,200($salvage value of $$11,700)$ that had a useful life of $6$ years. The bookkeeper used straight$-$line depreciation for $2023,2024,$ and $2025,$ but failed to deduct the salvage value in computing the depreciation base.

Sale of securities held as a part of its portfolio resulted in a loss of $$60,900($pretax$).$

When its president died, the corporation realized $$142,600$ from an insurance policy. The cash surrender value of this policy had been carried on the books as an investment in the amount of $$46,110($the gain is nontaxable$).$

The corporation disposed of its recreational division at a loss of $$103,520$ before taxes. Assume that this transaction meets

the criteria for discontinued operations.

The corporation decided to change its method of inventory pricing from average$-$cost to the FIFO method. The effect of this

change on prior years is to increase $2023$ income by $$54,040$ and decrease $2024$ income by $$19,040$ before taxes. The FIFO

method has been used for $2025.$ The tax rate on these items is $30\%.$

Prepare an income statement for the year $2025$ starting with Income from Continuing Operations before taxes. Compute earnings per share as it should be shown on the face of the income statement. Common shares outstanding for the year are $111,840$ shares. $($Assume a tax rate of $30\%$ on all items, unless indicated otherwise.$)($Round earnings per share to $2$ decimal places, e$.$g$.1\mathrm{.}48$ and all other answers to $0$ decimal places. e$.$q$.5\mathrm{.}275\mathrm{.}1$

WHISPERING INC.

Income Statement $($Partial$)$

For the Year Ended December $31,2025$

Income before Income Tax

Income Tax

Income from Continuing Operations

Loss on Disposal of Recreational Division

Income from Continuing Operations