Chapter 7
Corporations: The Financial Statements
337
AP-9A
(
2
)
Spader Inc. had the following account balances at the end of the year. Prepare a multistep
income statement for December 31, 2016. Spader Inc. follows ASPE.
Account Title
Balance
Cost of Goods Sold
$234,000
Depreciation Expense
6,200
Loss on Sale of Assets from Discontinued Operations
5,700
Insurance Expense
2,700
Loss on Foreign Currency Translation
600
Income Tax Expense (Continuing Operations)
27,780
Income Tax Expense (Discontinued Operations)
2,220
Maintenance Expense
3,800
Operating Income from Discontinued Operations
16,800
Rent Expense
32,000
Salaries Expense
87,500
Sales Returns and Allowances
3,900
Sales Revenue
520,000
Telephone Expense
4,100
Travel Expense
6,300
