Financial Reporting I

E4 17 (Various reporting formats) The following information was taken from the records of Roland Carlson Inc for the year 2014. Income Tax applicable to income from continuing operations $187,000; 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 Dividend Declared                         150,000

Loss on discontinued operations             75,000                                               

Retained Earnings January 1,2014        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                                   1,900,000

Shares Outstanding during 2014 were 100,000.

Instructions:

a. Prepare single step income statement.

b. Prepare comprehensive income statement for 2014, using two statement format.

c. Prepare a retained earnings statement for 2014.