Required information

Problem $17-6$AA $($Algo$)$ Income statement computations and format LO A$2$

$[$The following information applies to the questions displayed below.$]$

Selected account balances from the adjusted trial balance for Olinda Corporation as of its calendar year$-$end December $31$

follow. Assume that the company's income tax rate is $40\%$ for all items.

a$.$ Interest revenue

b$.$ Depreciation expense$-$Equipment

c$.$ Loss on sale of equipment

d$.$ Accounts payable

e$.$ Other operating expenses

f$.$ Accumulated depreciation$-$Equipment

g$.$ Gain from settlement of lawsuit

h$.$ Accumulated depreciation$-$Buildings

i$.$ Loss from operating a discontinued segment $($pretax$)$

j$.$ Gain on insurance recovery of tornado damage

k$.$ Net sales

Depreciation expense$-$Buildings

m$.$ Correction of overstatement of prior year's sales $($pretax$)$

n$.$ Gain on sale of discontinued segment's assets $($pretax$)$

o$.$ Loss from settlement of lawsuit

p$.$ Income tax expense

q$.$ Cost of goods sold

Req $2$A

What is the amount of income from continuing operations before income taxes?

Income from continuing operations before taxes

Req $2$B

What is the amount of the income tax expense?

Income tax expense

What is the amount of income from continuing operations?

Income from continuing operations after taxes