00 Common stock, 50,000 shares outstanding 210,000 Interest expense 70,000
Preparing a Statement of Comprehensive Income and a Statement of Stockholders’ Equity
The following pretax amounts are taken from the adjusted
| Sales revenue | $1,400,000 | Unrealized holding loss on debt securities | $16,800 |
| Cost of goods sold | 784,000 | Foreign currency translation adjustment, loss | 25,200 |
| Operating expenses | 392,000 | Common stock, 50,000 shares outstanding | 210,000 |
| Interest expense | 70,000 |
Other information:
- Assume an average 25% corporate tax rate on all items.
- Assume no changes in common stock during the year.
- Accumulated other comprehensive income had a $56,000
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- Dividends declared and paid during the year were $70,000
Required
a. Prepare two separate but consecutive statements of income and comprehensive income. Ignore earnings per share disclosures.
● Note: Do not use negative signs with any of your answers.
| Gomez Corp. | |
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| Income Statement | |
| For Year Ended December 31 | |
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| Other expenses: | |
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| Gomez Corp. | |
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| Statement of Comprehensive Income | |
| For Year Ended December 31 | |
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b. Prepare a statement of
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