Question - The trial balance of Kroeger Inc. included the following accounts as of December 31, 2016:
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Debits
|
Credits
|
|
Sales revenue
|
8,200,000
|
|
Interest revenue
|
60,000
|
|
Gain on sale of investments
|
120,000
|
|
Unrealized gains on investments
|
140,000
|
|
Foreign currency translation losses
|
160,000
|
|
Cost of goods sold
|
6,100,000
|
|
Selling expenses
|
600,000
|
|
Goodwill impairment loss
|
500,000
|
|
Interest expense
|
30,000
|
|
General and administrative expenses
|
500,000
|
Kroeger had 300,000 shares of stock outstanding throughout the year. Income tax expense has not yet been accrued. The effective tax rate is 40%.
Prepare a 2016 single, continuous statement of income and comprehensive income for Kroeger Inc., using a multiple-step income statement format. Make sure to classify the income items into the appropriate sections of the statement and include EPS as appropriate.