Refer to the situation described in BE 4-1. If the company's

Refer to the situation described in BE 4-1. If the company's accountant prepared a multiple-step income statement, what amount would appear in that statement for

(a) Operating income and

(b) Non-operating income?

In BE 4-1, The adjusted trial balance of Pacific Scientific Corporation on December 31, 2011, the end of the company's fiscal year, contained the following income statement items ($ in millions): sales revenue, $2,106; cost of goods sold, $1,240; selling expenses, $126; general and administrative expenses, $105; interest expense, $35; and gain on sale of investments, $45. Income tax expense has not yet been accrued. The income tax rate is 40%. Prepare a single-step income statement for 2011. Ignore EPS disclosures.


Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...

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