Question

On December 31, 2021, the end of the fiscal year, Revolutionary Industries completed the business for $10.8 million. The robotics business segment qualifies as a component of th to GAAP. The book value of the assets of the segment was $7.9 million. The income fron segment during 2021 was $4.9 million. Pretax income from continuing operations for the million. The income tax rate is 25%. Prepare the lower portion of the 2021 income statement beginning with income from co before income taxes. Ignore EPS disclosures. (Amounts to be deducted and negative a indicated with a minus sign. Enter your answers in whole dollars and not in millions. F $4,000,000 rather than $4.) Answer is not complete. REVOLUTIONARY INDUSTRIES Partial Income Statement For the Year Ended December 31, 2021 Income from continuing operations before income taxes Income tax expense Loss from operations of discontinued component $ Income from continuing operations Discontinued operations: Income tax expense Income from operations of discontinued component Net income (loss) 15

2) The following incorrect income statement was prepared by the accountant of the Axel Corporation:

AXEL CORPORATION Income Statement For the Year Ended December 31, 2021
Revenues and gains:
Sales revenue				$	780,000
Interest revenue					51,000
Gain on sale of investments					98,000
Total revenues and gains					929,000
Expenses and losses:
Cost of goods sold	$	420,000
Selling expense		78,000
Administrative expense		98,000
Interest expense		35,000
Restructuring costs		74,000
Income tax expense		56,000
Total expenses and losses					761,000
Net Income				$	168,000
Earnings per share				$	1.68

Required:
Prepare a multiple-step income statement for 2021 applying generally accepted accounting principles. The income tax rate is 25%. (Amounts to be deducted should be indicated with a minus sign. Round EPS answer to 2 decimal places.)
  

3) Esquire Comic Book Company had income before tax of $1,550,000 in 2021 before considering the following material items:

1. Esquire sold one of its operating divisions, which qualified as a separate component according to generally accepted accounting principles. The before-tax loss on disposal was $395,000. The division generated before-tax income from operations from the beginning of the year through disposal of $610,000.
2. The company incurred restructuring costs of $60,000 during the year

Required:
Prepare a 2021 income statement for Esquire beginning with income from continuing operations. Assume an income tax rate of 25%. Ignore EPS disclosures. (Amounts to be deducted should be indicated with a minus sign.)

Answer 1

FCDDF000 (Autosaved) (Autosaved) (Autosaved) - Microsoft Excel - 0 X View D General Wrap Text 1 Merge & Center - - 1 - 3 AutoSum" AY Insert Delete Format Conditional Format Cell Formatting as Table - Styles Styles Clear Sort & Find & Filter Select Editing Alignment Number Cells Con = Home Insert Page Layout Formulas Data Review * Cut Comic Sans MS - 11 - A A = = La Copy Paste Format Painter BIU >> A Clipboard Font A17 - fx A 1 Revolutionary Industries 2 Partial Income Statement 3 For the Year Ended December 31,2021 C D E G H 4 5 Income from continuing operations before income tax 6 Income tax expense 7 Income from continuing operations $ $ $ 1,20,00,000.00 30,00,000.00 90,00,000.00 8 9 Discontinued Operations 10 Income from operations of discontinued component $ 78,00,000.00 11 Income tax expense $ 19,50,000.00 12 Income of Discontinued Operations $ 58,50,000.00 13 14 Net Income $ 1,48,50,000.00 15 16 As per Chegy Guidelines only one question should be answered at a time 17 18 Sheet252 Sheet253 Sheet254 Sheet255 Sheet257 Sheet258 Sheet260 Sheet261 Sheet262 Februar Ready BO 120% u + Type here to search o e @ 9 A D * ENG 12:45 01-03-2020