*Problem 4-07 Your answer is partially correct. Try again. Wade Corp. has 150,000 shares of common stock outstanding. In 2020, the company reports income from continuing operations before income tax or $1,210,000. Additional transactions not considered in the $1,210,000 are as follons. 1. 2. In 2020, Wade Cora sold equlament for $40,CDD. The machine had originally cost $80, COD and had accumulated depreciation of $30, LOD. The gain or lass is considered non-recurring. The company discontinued operations of one of its subsidiaries during the current year at a loss of $190,000 before taxes. Assume that this transaction meets the criteria for discontinued operations. The loss from operations of the discontinued subsidiary was $90,000 befane taxes; the lass from disposal af the subsidiary was $100.000 before taxes. An internal audit discovered that amortization of intangible assets was understated by $35,000 (nel of lax) in a prior period. The amount was charged against retained earnings. The company recorded a non maruming gain of S125,000 on the condemnation of some of its property Indudad in the S1,210,000). 3. 4. Analyze the above information and prepare an income statement for the year 2020, starting with income from continuing operation before incoin tax, Cerrautu warnings par sharu as it should be shown on the face of the income statement. (Assume a tatal effective tax rate of 1996 on all items, unless otherwise indicated. (Round earnings per share to z decimal places, e.g. 1.47.) WADE CORP Income Statement (Partial December 31, 2020 Tocome From Continuing Operations Batore Income Tax Income Tax Income From Continuing Operations Discontinued Daerations Loss from Operations of Discontinued subsidiary Lesspplica ale Incare Tax Reduction Thoss from Disposal or Subsidiary Mass Applicable Income Tax Reduction rss from Disposal of: piscontinued Operation TIGain on Condemnation Gain on Condemnation Net Income / (L055)