Presented below is information related to Diego Company for 2019: Note: All amounts listed are before...
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Presented below is information related to Diego Company for 2019: Note: All amounts listed are before taxes During 2019: • Diego Company sold its fishing division to focus exclusively on its restaurant distribution operations. • During 2019, there were 10,000 shares of common stock outstanding all year, and 5,000 shares of preferred stock outstanding all year Income tax rate 20% Cumulative effect of change in accounting principle" (* new principle would have reduced net income in the past) $(15,000) Understatement of Depreciation Expense in 2012-2017A (* if correct, would have decreased net income in the past) (10,000) Administrative expenses 50,000 Interest revenue 15,000 Net Sales revenue 987,000 Dividend revenue 40,000 Interest expense 60,000 Cost of goods sold 550,000 Selling expenses 100,000 Gain on the sale of Available-for-sale Securities 8,000 Gain on the disposition of the fishing division 25,000 Gain on operations of the fishing division 75,000 Restructuring costs 38,000 Loss on impairment of goodwill 13,000 Holding gain on Available-for-sale Securities 22,000 Dividends declared on common stock 50,000 Dividends declared on preferred stock 25,000 Retained earnings balance, Jan. 1, 2019 90,000 Accumulated Other Comprehensive Income, Jan. 1, 2019 30,000 Instructions: Prepare a (1) multiple-step income statement, (2) statement of comprehensive income, (3) statement of retained earnings, and (4) compute the ending balance of Accumulated Other Comprehensive Income that would be shown on the Balance Sheet. When computing after-tax amounts, round to nearest whole dollar. Presented below is information related to Diego Company for 2019: Note: All amounts listed are before taxes During 2019: • Diego Company sold its fishing division to focus exclusively on its restaurant distribution operations. • During 2019, there were 10,000 shares of common stock outstanding all year, and 5,000 shares of preferred stock outstanding all year Income tax rate 20% Cumulative effect of change in accounting principle" (* new principle would have reduced net income in the past) $(15,000) Understatement of Depreciation Expense in 2012-2017A (* if correct, would have decreased net income in the past) (10,000) Administrative expenses 50,000 Interest revenue 15,000 Net Sales revenue 987,000 Dividend revenue 40,000 Interest expense 60,000 Cost of goods sold 550,000 Selling expenses 100,000 Gain on the sale of Available-for-sale Securities 8,000 Gain on the disposition of the fishing division 25,000 Gain on operations of the fishing division 75,000 Restructuring costs 38,000 Loss on impairment of goodwill 13,000 Holding gain on Available-for-sale Securities 22,000 Dividends declared on common stock 50,000 Dividends declared on preferred stock 25,000 Retained earnings balance, Jan. 1, 2019 90,000 Accumulated Other Comprehensive Income, Jan. 1, 2019 30,000 Instructions: Prepare a (1) multiple-step income statement, (2) statement of comprehensive income, (3) statement of retained earnings, and (4) compute the ending balance of Accumulated Other Comprehensive Income that would be shown on the Balance Sheet. When computing after-tax amounts, round to nearest whole dollar.
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Answer Particulars Amount Amount Sales 987000 less cost of goods Sold 550000 Gross profit 437000 Ope... View the full answer
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