Income Statement Items The following balances were taken from the books of Parnevik Corp. on December 31.2010.

Assume the total effective tax rate on all items is 34%.
Instructions
Prepare an income statement: 100,000 ordinary shares were outstanding during theyear.

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$ 86,000 Accumulated depreciation-building $28,000 Interest revenue 51.000 Notes receivable Cash 155,000 1,280.000 Selling expenses Sales 194,000 150.000 Accounts payable Accounts receivable 170,000 20.000 Bonds payable Prepaid insurance 100,000 150.000 Administrati ve and general expenses Seles returns and allowances 97,000 Allowance for doubtful accounts 7,000 Accrued liabilities 32,000 45.000 Interest expanse Sales discounts 60,000 100,000 Notes payable Land 100,000 200.000 Loss from impairment of plant assets Equipment 120,000 140.000 Share capital-ordinary Building 500,000 621.000 Retained earnings Cost of goods sold 21,000 Accumulated depreciation-equipment 40,000