Income statement presentation
Response to the following problem:
Rembrandt Paint Company had the following income statement items for the year ended December 31, 2016 ($ in 000s):
|
Net sales
|
$18,000
|
Cost of goods sold
|
$10,500
|
|
Interest income
|
200
|
Selling and administrative expenses
|
2,500
|
|
Interest expense
|
350
|
Restructuring costs
|
800
|
In addition, during the year the company completed the disposal of its plastics business and incurred a loss from operations of $1.6 million and a gain on disposal of the component's assets of $2 million. 500,000 shares of common stock were outstanding throughout 2016. Income tax expense has not yet been recorded. The income tax rate is 30% on all items of income (loss).
Required:
Prepare a multiple-step income statement for 2016, including EPS disclosures.