Instructions

$($a$)$ Prepare an income statement for the year $2014$ using the multiple$-$step form. Common shares outstanding for $2014$ total $40,550(000$ omitted$).$

$($b$)$ Prepare an income statement for the year $2014$ using the single$-$step form.

$($c$)$ Which one do you prefer? Discuss.

$23$

$($Multiple$-$Step and Extraordinary Items$)$ The following balances were taken from the books of

$5$

Maria Conchita Alonzo Corp. on December $31,2014.$

$\backslash$table$[[$Interest revenue,$$86,000,$Accumulated depreciation$-$equipment,$$40,000$