Question

9. Sunshine Corporation's accounting records include the following items, listed in no particular order, at December 31, 2018: (Click the icon to view the data.) The income tax rate for Sunshine Corporation is 25%. Prepare Sunshine's income statement for the year ended December 31, 2018. Omit earnings per share. Use a multi-step format. Prepare the income statement through the income before taxes, then complete the income statement through the net income. (Use parentheses or a minus sign to enter other expenses.) Sunshine Corporation Income Statement Year Ended December 31, 2018 Data Table Net Sales Revenue $ 74,000 31,000 Cost of Goods Sold Gross Profit 43,000 25,000 $ Cost of Goods Sold Other Income and (Expenses) Net Sales Revenue Gain on Discontinued Operations 31,000 25,000 Operating Expenses Operating Income Operating Expenses 74,000 3,800 18,000 (5,600) Other Income and (Expenses) 12,400 Print Done Income Before Income Taxes Income Tax Expense Income from Continuing Operations Discontinued Operations Gain (less applicable tax) Net Income

Answer 1

Answer-

SUNSHINE CORPORATION
INCOME STATEMENT
FOR YEAR ENDED 31,2018
PARTICULARS		AMOUNT
		$
Net sales revenue		74000
Less-Cost of goods sold		31000
Gross profit		43000
Less- Operating expenses		25000
Operating income		18000
Other income & (expenses)		-5600
Income before income taxes		12400
Less- income tax expenses	$12400*25%	3100
Income from continuing operations		9300
Add- Gain on discontinued operations (net of tax)	$3800*(1-.25)	2850
Net Income		12150