141) Based on the given data, compute the following items for Neff Corporation for 2010:
a) Other gains and revenues
b) Other losses and expenses
c) Discontinued operations
The tax rate in effect for Neff Corporation is 35%.
1) Interest revenue during the year is $30,000.
2) Interest expense during the year is $22,500.
3) Rent revenue during the year is $65,000.
4) Loss on sale of machinery during the year is $35,000.
5) Loss from discontinued operations is $100,000 (pretax).
6) During the current year, Neff Corporation changed from straight-line to double-declining-balance amortization. Accumulated amortization under straight-line amortization as of January 1, 2010, was $200,000; under double-declining-balance, accumulated amortization as of January 1, 2010, would have been $250,000.
a) __________________________
b) __________________________
c) __________________________
142) The following information was taken from the accounting records of Winnifred Corp. at December 31, 2010. The income tax rate is 40%.
Preferred shares, $1, 50,000 shares authorized,
10,000 shares issued $ 150,000
Retained earnings, balance as of January 1, 2010287,000
Cost of goods sold 935,000
Gain on sale of discontinued segment80,000
Sales revenue (net)1,450,000
Selling expenses215,000
Preferred dividends 10,000
Common dividends 70,000
Administrative expenses112,000
Operating income, discontinued segment33,000
Loss on expropriation of land46,000
Common shares, unlimited number of shares authorized,
200,000 shares issued315,000
There were no share transactions in 2010.
Prepare a single step income statement and a statement of retained earnings for the year ended December 31, 2010.
