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Reporting an Income Statement with Irregular Items

The following pretax amounts are taken from the adjusted trial balance of Goal Corp. at December 31, 2020, its annual year-end. Assume an average 25% tax rate on all items.

Sales revenue	$132,000	Gain on sale of fixed asset (pretax)	$15,000
Service revenue	30,000	Restructuring costs (pretax)	12,000
Cost of goods sold	78,000	Loss on discontinued operations (pretax).	3,000
Operating expenses	52,800	Common stock outstanding	8,000 shares

Required

Prepare a single-step income statement, including the section on earnings per share.

• Enter revenues and gains and expenses and losses in the order of the largest dollar amount to the smallest dollar amount.
• Use a negative sign to indicate a loss.
• Round the per share amounts to two decimal places.

Goal Corp. Income Statement For the Year Ended December 31, 2020 Revenues and gains Sales revenue 132,000 Service revenue 30,000 Gain on sale of fixed asset 15,000 Total revenues and gains 177,000 Expenses and losses Cost of goods sold 78,000 52,800 Operating expenses Restructuring costs 12,000 Total expenses and losses 142,800 Income from continuing operations before 34,200 Income tax expense 8,550 Income from continuing operations 25,650 Discontinued operations Loss from discontinued component, net 2,250x $ 21,900 Net income Per share: Income from continuing operations $ 3.21 Loss from discontinued component, net 0.468 $ 2.74 Net income 1 41

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