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REED COMPANY December 31 2021 $ 4,400,000 $ 3,500,000 2,860,000 800,000 360,000 150,000 200,000 48,000 2020 Sales revenue Cost of goods sold Administrative expense Selling expense nterest revenue nterest expense Loss on sale of assets of discontinued component 2,000,000 675,000 302,000 140,000 200,000 Results of operations for discontinued component (included above): Sales Cost of goods sold Administrative expense Selling expenses Operating income before taxes 1/1/21 - 9/30/21 400,000 $ 500,000 (290,000) (50,000) (20,000) s. 2020 (320,000) (40,000) (20,000) 40,000 's 120,000 Additional information: Uninsured damage due to fire Cost of obsolete inventory Obsolete inventory sold for scrap ncome tax rate Common stock shares 50,000 40,000 5,000 25% 300,000 SSS

REED COMPANY December 31 2021 $ 4,400,000 $ 3,500,000 2,860,000 800,000 360,000 150,000 200,000 48,000 2020 Sales revenue Cost of goods sold Administrative expense Selling expense nterest revenue nterest expense Loss on sale of assets of discontinued component 2,000,000 675,000 302,000 140,000 200,000 Results of operations for discontinued component (included above): Sales Cost of goods sold Administrative expense Selling expenses Operating income before taxes 1/1/21 - 9/30/21 400,000 $ 500,000 (290,000) (50,000) (20,000) s. 2020 (320,000) (40,000) (20,000) 40,000 's 120,000 Additional information: Uninsured damage due to fire Cost of obsolete inventory Obsolete inventory sold for scrap ncome tax rate Common stock shares 50,000 40,000 5,000 25% 300,000 SSS

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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I need the comparative income statement, it is incomplete but that is the format. 

REED COMPANY December 31 2021 2020 $ 4,400,000 S$ 3,500,000 2,000,000 675,000 302,000 140,000 200,000 Sales revenue Cost of goods sold Administrative expense Selling expense Interest revenue |Interest expense |Loss on sale of assets of discontinued component 2,860,000 800,000 360,000 150,000 200,000 48,000 1/1/21 - Results of operations for discontinued component (included above): Sales 9/30/21 2020 Cost of goods sold Administrative expense Selling expenses Operating income before taxes 400,000 $ 500,000 (290,000) (50,000) (20,000) $. (320,000) (40,000) (20,000) 40,000 '$ 120,000 Additional information: Uninsured damage due to fire Cost of obsolete inventory Obsolete inventory sold for scrap 50,000 40,000 5,000 Income tax rate Common stock shares 25% 300,000
Transcribed Image Text:REED COMPANY December 31 2021 2020 $ 4,400,000 S$ 3,500,000 2,000,000 675,000 302,000 140,000 200,000 Sales revenue Cost of goods sold Administrative expense Selling expense Interest revenue |Interest expense |Loss on sale of assets of discontinued component 2,860,000 800,000 360,000 150,000 200,000 48,000 1/1/21 - Results of operations for discontinued component (included above): Sales 9/30/21 2020 Cost of goods sold Administrative expense Selling expenses Operating income before taxes 400,000 $ 500,000 (290,000) (50,000) (20,000) $. (320,000) (40,000) (20,000) 40,000 '$ 120,000 Additional information: Uninsured damage due to fire Cost of obsolete inventory Obsolete inventory sold for scrap 50,000 40,000 5,000 Income tax rate Common stock shares 25% 300,000
2021 2020 $ 4,000,000 S 3,000,000 (2,570,000) 1,430,000 Sales revenue Cost of goods sold Gross profit Operating expenses: Administrative expense Selling expense Loss on building (fire damage) Loss on inventory write-down Total operating expenses Operating income Other income (expense): (1,680,000) 1,320,000 (635,000) (282,000) (750,000) (340,000) (50,000) (35,000) (1,175,000) 255,000 (917,000) 403,000 Interest revenue 150,000 140,000 Interest expense Total other income (net) Income from continuing operations before (200,000) (50,000) (200,000) (60,000) 343,000 (85,750) 257,250 income taxes 205,000 Income tax expense Income from continuing operations Discontinued operations: Income (loss) from operations of discontinued component (including loss on disposal of $48,000 in 2021) Income tax benefit (expense) Income (loss) on discontinued operations (51,250) 153,750 (8,000) 120,000 Net income
Transcribed Image Text:2021 2020 $ 4,000,000 S 3,000,000 (2,570,000) 1,430,000 Sales revenue Cost of goods sold Gross profit Operating expenses: Administrative expense Selling expense Loss on building (fire damage) Loss on inventory write-down Total operating expenses Operating income Other income (expense): (1,680,000) 1,320,000 (635,000) (282,000) (750,000) (340,000) (50,000) (35,000) (1,175,000) 255,000 (917,000) 403,000 Interest revenue 150,000 140,000 Interest expense Total other income (net) Income from continuing operations before (200,000) (50,000) (200,000) (60,000) 343,000 (85,750) 257,250 income taxes 205,000 Income tax expense Income from continuing operations Discontinued operations: Income (loss) from operations of discontinued component (including loss on disposal of $48,000 in 2021) Income tax benefit (expense) Income (loss) on discontinued operations (51,250) 153,750 (8,000) 120,000 Net income
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