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Shown Below Is Information Relating to Operations of R

Question 143

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Shown below is information relating to operations of R. Brook, Inc for the current year:
Continuing operations:
In the space provided, complete the income statement for R. Brook, Inc., including earnings per share figures. R. Brook, Inc. has 100,000 shares of a single class of common stock outstanding throughout the year.
R. BROOK, INC.
Condensed Income Statement
For the Year Ended December 31, 2009
 Continuing operations: Net sales $2,750,000 Costs and expenses (including income taxes) 2,125,000 Other data: Current-year loss generated by segment of the business  discontinued in July (net of income tax benefit)207,500 Gain on disposal of discontinued segment (net of income tax) 137,500 Prior period adjustment (decrease in prior year’s depreciation  expense, net of income taxes).45,000 Extraordinary loss (net of income tax benefit) 17,500 Cash dividends declared ( $ 1.50 per share) 150,000\begin{array}{lrr} \text { Continuing operations:} &\\ \text { Net sales } &\$2,750,000\\ \text { Costs and expenses (including income taxes) } &2,125,000\\ \text { Other data:} &\\ \text { Current-year loss generated by segment of the business } &\\ \text { discontinued in July (net of income tax benefit)} &207,500\\\text { Gain on disposal of discontinued segment (net of } &\\ \text {income tax) } &137,500\\ \text { Prior period adjustment (decrease in prior year's depreciation } &\\ \text { expense, net of income taxes).} &45,000\\ \text { Extraordinary loss (net of income tax benefit) } &17,500\\ \text { Cash dividends declared ( \$ 1.50 per share) } &150,000\\\end{array}

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