On December 31, the end of the current fiscal year, a company completed the sale of one business segment for $11.2 million. The business segment qualifies as a component of the entity, according to GAAP. Consider the following additional information: • The book value of the assets of the segment was $8.1 million at the time of the sale. . The income from operations of the segment during the current year was $5.1 million. • Pretax income from other continuing operations for the year totaled $13.1 million. . The income tax rate is 25%. Prepare the lower portion of the current year income statement beginning with income from continuing operations before income taxes. Note: Loss amounts should be indicated with a minus sign. Enter your answers in whole dollars and not in millions. For example, $4,000,000 rather than $4. A Company Partial Income Statement For the Year Ended December 31, Current Year Income from continuing operations before income taxes Income from continuing operations Discontinued operations: 0

On December 31, the end of the current fiscal year, a company completed the sale of one business segment for $11.2 million. The business segment qualifies as a component of the entity, according to GAAP. Consider the following additional information: • The book value of the assets of the segment was $8.1 million at the time of the sale. . The income from operations of the segment during the current year was $5.1 million. • Pretax income from other continuing operations for the year totaled $13.1 million. . The income tax rate is 25%. Prepare the lower portion of the current year income statement beginning with income from continuing operations before income taxes. Note: Loss amounts should be indicated with a minus sign. Enter your answers in whole dollars and not in millions. For example, $4,000,000 rather than $4. A Company Partial Income Statement For the Year Ended December 31, Current Year Income from continuing operations before income taxes Income from continuing operations Discontinued operations: 0

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter5: The Income Statement And The Statement Of Cash Flows

Section: Chapter Questions

Problem 2P

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On December 31, 2021, the end of the fiscal year, Revolutionary Industries completed the sale of its robotics business for $10.0 million. The robotics business segment qualifies as a component of the entity according to GAAP. The book value of the assets of the segment was $7.5 million. The income from operations of the segment during 2021 was $4.5 million. Pretax income from continuing operations for the year totaled $12.5 million. The income tax rate is 25%. Prepare the lower portion of the 2021 income statement beginning with income from continuing operations before income taxes. Ignore EPS disclosures. (Amounts to be deducted and negative amounts should be indicated with a minus sign. Enter your answers in whole dollars and not in millions. For example, $4,000,000 rather than $4.)
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On December 31,2021 the end of the fiscal year, Califonia Mircotech Corporation completed the sale of its semiconductor business for $10 million. The semiconductor business segment qualifies as a component of the entity according to GAAP. The book value of the assests of the segment was $8 million. The loss from operations of the segment during 2021 was $3.6 million. Pretax income from continuing operation for the year totaled $5.8 million. The income tax rate is 25%. Prepare the lower portion of the 2021 income statement. Assume instead that the estimated fair value of the segments assets, less costs to sell, on December 31 was $7 million rather than $10 million. Prepare the lower portion of the 2021 income statement beginning with income from continuing operations before income taxes.
On December 31, 2016, the end of the fiscal year, California Microtech Corporation completed the sale of its semiconductor business for $10 million. The business segment qualifies as a component of the entity according to GAAP. The book value of the assets of the segment was $8 million. The loss from operations of the segment during 2016 was $3.6 million. Pretax income from continuing operations for the year totaled $5.8 million. The income tax rate is 30%. Prepare the lower portion of the 2016 income statement beginning with pretax income from continuing operations. Ignore EPS disclosures.
On December 31, 2021, the end of the fiscal year, Revolutionary Industries completed the sale of its robotics business for $9 million. The robotics business segment qualifies as a component of the entity according to GAAP. The book value of the assets of the segment was $7 million. The income from operations of the segment during 2021 was $4 million. Pretax income from continuing operations for the year totaled $12 million. The income tax rate is 25%. Prepare the lower portion of the 2021 income statement beginning with income from continuing operations before income taxes. Ignore EPS disclosures.
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CARAT CORP. has completed its current year financial statements which reveal, in part, the following information: *Profit for the year - P110,000 *Total Comprehensive Income - P130,000 *Other comprehensive income relates to the revaluation of land and buildings to fair value *Dividends paid - P35,000 *Opening equity balances - share capital P300,000, retained earnings P220,000, asset revalution surplus P60,000 *No more share capital was issued during the reporting period The total equity at the end of the current year is: Choices a. 695,000 b. 675,000 c. 655,000 d. 580,000
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