Chapter 9, Problem 9.19P

Problem 9.19

LO 5

Calculate operating income and net income The following information is available from the accounting records of Manahan Co. for the year ended December 31, 2016:

Net cash provided by financing activities	$168,000
Dividends paid	27,000
Loss from discontinued operations, net of tax savings of $70,000	155,000
Income tax expense	39,000
Other selling expenses	20,000
Net sales	966,000
Advertising expense	67,000
Accounts receivable	186,000
Cost of goods sold	552,000
General and administrative expenses	214,000

Required:

1. Calculate the operating income for Manahan Co. for the year ended December 31, 2016
2. Calculate the company’s net income for 2016.