AP Trayer Corporation has income from continuing operations of $290,000 for the year ended December 31, 2022. It also has the following items (before considering income taxes). An unrealized loss of $80,000 on available-for-sale securities. A gain of $30,000 on the discontinuance of a division (comprised of a $10,000 loss from operations and a $40,000 gain on disposal). Assume all items are subject to income taxes at a 20% tax rate. Instructions Prepare a partial income statement, beginning with income from continuing operations, and a statement of comprehensive income.
AP Trayer Corporation has income from continuing operations of $290,000 for the year ended December 31, 2022. It also has the following items (before considering income taxes). An unrealized loss of $80,000 on available-for-sale securities. A gain of $30,000 on the discontinuance of a division (comprised of a $10,000 loss from operations and a $40,000 gain on disposal). Assume all items are subject to income taxes at a 20% tax rate. Instructions Prepare a partial income statement, beginning with income from continuing operations, and a statement of comprehensive income.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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AP Trayer Corporation has income from continuing operations of $290,000 for the year ended December 31, 2022. It also has the following items (before considering income taxes).
An unrealized loss of $80,000 on available-for-sale securities.
A gain of $30,000 on the discontinuance of a division (comprised of a $10,000 loss from operations and a $40,000 gain on disposal).
Assume all items are subject to income taxes at a 20% tax rate.
Instructions
Prepare a partial income statement, beginning with income from continuing operations, and a statement of comprehensive income.
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