Expert Answer :Income Statement, EPS

Solved by verified expert :Presented below are selected ledger accounts of McGraw Corporation as of December 31, 2012.Cash$50,000Administrative expenses100,000Selling expenses80,000Net sales540,000Cost of goods sold260,000Cash dividends declared (2012)20,000Cash dividends paid (2012)15,000Discontinued operations (loss before income taxes)40,000Depreciation expense, not recorded in 201130,000Retained earnings, December 31, 201190,000Effective tax rate 30%(a)Compute net income for 2012. (List multiple entries from largest to smallest amount, e.g. 10, 5, 2. Enter all amounts as positive amounts and subtract where necessary.)Presented below are selected ledger accounts of McGraw Corporation as of December 31, 2012.Cash$50,000Administrative expenses100,000Selling expenses80,000Net sales540,000Cost of goods sold260,000Cash dividends declared (2012)20,000Cash dividends paid (2012)15,000Discontinued operations (loss before income taxes)40,000Depreciation expense, not recorded in 201130,000Retained earnings, December 31, 201190,000Effective tax rate 30%(a)Compute net income for 2012. (List multiple entries from largest to smallest amount, e.g. 10, 5, 2. Enter all amounts as positive amounts and subtract where necessary.)