The following accounts are taken from the accounting records of Dory Company at December 31, 2015 after adjustments:
In addition, the following information is available:
-The inventory on December 31, 2015, was $75,000.
-Ten thousand shares of common stock were outstanding during the entire year. Dory paid dividends of $1.00 per share.
-At the end of October, Dory sold its unprofitable restaurant component. From January through October, the component had incurred an operating loss pretax) of $14,000. The sale was made at a loss pretax) of $8,000.
-The applicable tax rate is 30%.
Required:
Prepare a 2015 multiple-step income statement for the Dory Company.

Question

The following accounts are taken from the accounting records of Dory Company at December 31, 2015 after adjustments: 
 In addition, the following information is available:
-The inventory on December 31, 2015, was $75,000.
-Ten thousand shares of common stock were outstanding during the entire year. Dory paid dividends of $1.00 per share.
-At the end of October, Dory sold its unprofitable restaurant component. From January through October, the component had incurred an operating loss pretax) of $14,000. The sale was made at a loss pretax) of $8,000.
-The applicable tax rate is 30%.
Required:
Prepare a 2015 multiple-step income statement for the Dory Company.

Quizplus · Accepted Answer

The Answer of The following accounts are taken from the accounting records of Dory Company at December 31, 2015 after adjustments: 
 In addition, the following information is available:
-The inventory on December 31, 2015, was $75,000.
-Ten thousand shares of common stock were outstanding during the entire year. Dory paid dividends of $1.00 per share.
-At the end of October, Dory sold its unprofitable restaurant component. From January through October, the component had incurred an operating loss pretax) of $14,000. The sale was made at a loss pretax) of $8,000.
-The applicable tax rate is 30%.
Required:
Prepare a 2015 multiple-step income statement for the Dory Company.

The Following Accounts Are Taken from the Accounting Records of Dory