Reference no: EM132787161

The following information is taken from the accounting records of Sunland Corporation, a Canadian public company, for the year ended December 31, 2020.

Accounts receivable                                                                               $88,000
Retained earnings, January 1, 2020                                                      $252,000
Loss on operation of discontinued operations (before tax)                           $102,500
Sales revenue                                                                                    $1,221,000
Cost of goods sold                                                                                 $722,500
Selling expenses                                                                                       $129,500
Cash                                                                                                    $71,000
Common shares (21,000 common shares outstanding)                                        $210,000
Dividend revenue                                                                                      $17,800
Inventory                                                                                               $125,000
Unearned revenue                                                                                        $3,900
Land                                                                                                       $380,000
Interest expense                                                                                            $17,500
Administrative expenses                                                                                $154,000
Notes payable (maturity 2026)                                                                         $190,000
Accounts payable                                                                                          $70,000
Gain on disposal of discontinued operations (before tax)                                       $154,000
Depreciation expense                                                                                        $53,000
Loss on disposal of equipment (before tax)                                                             $11,000

Sunland Corporation is subject to a 25% income tax rate.

Problem 1: Prepare multiple-step income statement in good form for Sunland Corporation (earnings per share information is not required)