(Various Reporting Formats) The following information was taken from the records of Gibson Inc. for the year 2012: income tax applicable to income from continuing operations $119,000; income tax applicable to loss on discontinued operations $25,500; income tax applicable to extraordinary gain $32,300; income tax applicable to extraordinary loss $20,400; and unrealized holding gain on available for sale securities $15,000.
|
Extraordinary gain |
$ 95,000 |
Cash dividends declared |
$ 150,000 |
|
Loss on discontinued operations |
75,000 |
Retained earnings January 1, 2012 |
600,000 |
|
Administrative expenses |
240,000 |
Cost of goods sold |
850,000 |
|
Rent revenue |
40,000 |
Selling expenses |
300,000 |
|
Extraordinary loss |
60,000 |
Sales revenue |
1,700,000 |
Shares outstanding during 2012 were 100,000.
Instructions
(a) Prepare a single step income statement for 2012.
(b) Prepare a retained earnings statement for 2012.
(c) Show how comprehensive income is reported using the second income statement format.