Whispering Corporation had income from continuing operations of $10,775,400 in 2020. During 2020, it disposed of its restaurant division at an after-tax loss of $200,100. Prior to disposal, the division operated at a loss of $321,500 (net of tax) in 2020 (assume that the disposal of the restaurant division meets the criteria for recognition as a discontinued operation). Whispering had 10,000,000 shares of common stock outstanding during 2020. Prepare a partial income statement for Whispering beginning with income from continuing operations. (Round earnings per share to 2 decimal places, e. g. 1.48.)

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Cason Hammond

Business

20 January, 13:18

Whispering Corporation had income from continuing operations of $10,775,400 in 2020. During 2020, it disposed of its restaurant division at an after-tax loss of $200,100. Prior to disposal, the division operated at a loss of $321,500 (net of tax) in 2020 (assume that the disposal of the restaurant division meets the criteria for recognition as a discontinued operation). Whispering had 10,000,000 shares of common stock outstanding during 2020. Prepare a partial income statement for Whispering beginning with income from continuing operations. (Round earnings per share to 2 decimal places, e. g. 1.48.)

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French Fry · Answer 1

Whispering Corporation

Partial income statement for 2020

Income from continuing operations $10,775,400

Income from discontinuing operation:

Division operated loss ($321,500)

Division disposal Loss ($200,100)

($521,600)

Net Income $10,253,800