1. Prepare an income statement for Grant Inc.. Compute the EPS.

Sales__________________________________$1,750,000

Shares Outstanding_____________________ 100,000

Cost of Goods Sold____________________$ 850,000

Interest Expense________________________$ 50,000

Selling & Admin Expense______________$ 125,000

Depreciation Expense__________________$50,000 Taxes____________________________________$75,000

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2. (Hamilton Industries had sales of $650,000 in 2019. Cost of goods sold was $420,000, Selling & Admin. Expenses were $80,000 and Operating profit was $100,000. What was the depreciation expense?

3. Jefferson Industries had sales of $2,000,000 in 2019. Cost of goods sold was 70% of sales. Selling & Admin. Expenses were 15% of sales. Depreciation was $25,000 and Interest expense was $10,000. The firms tax rate is 25%. (a) Compute earnings after taxes. (b) compute EPS, given there are 100,000 shares of stock outstanding round to two decimal places.