Question

The following information was taken from the records of Roland Carlson Inc. for the year 2017: income tax applicable to income from continuing operations $187,000, income tax applicable to loss on discontinued

asked Feb 12, 2022 197k views

The following information was taken from the records of Roland Carlson Inc. for the year 2017: income tax applicable to income from continuing operations $187,000, income tax applicable to loss on discontinued operations $25,500, and unrealized holding gain on available-for-sale securities (net of tax) $15,000.

Gain on sale of equipment $ 95,000
Cash dividends declared $ 150,000
Loss on discontinued operations 75,000
Retained earnings January 1, 2017 600,000
Administrative expenses 240,000
Cost of goods sold 850,000
Rent revenue 40,000
Selling expenses 300,000
Loss on write-down of inventory 60,000
Sales revenue 1,900,000
Shares outstanding during 2017 were 100,000.
Fill of the information in the table provided. This is the information I have filled out so far - corrections can be made.
E4-17
(a) ROLAND CARLSON INC.
Income Statement
For the Year Ended December 31, 2017
Revenues
Sales revenue $1,900,000
Rent revenue 40,000
Total revenues 1,940,000
Expenses
Cost of goods sold 850,000
Selling expenses 300,000
Administrative expenses 240,000
Total expenses 1,390,000
Income from operations 550,000
Other revenues and gains
Gain on sale of equipment 95,000
Other expenses and losses
Inventory loss 60,000
Income from continuing operations before
income tax $187,000
Income tax **
Income from continuing operations ***
Discontinued operations
Loss on discontinued operations $75,000
Less: Applicable income tax reduction ** **
Net income **
Per share of common stock:
Income from continuing operations (income from continuing operations ÷ 100,000) **
Loss on discontinued operations, net of tax **
Net income (Net income ÷ 100,000) **