Problem-09: Financial Statement Analysis

The ledger of Jaime Corporation at December 31,2020, contains the following summary data.

Your analysis reveals the following additional information that is not included in the above data.

1. The entire Puzzles Division was discontinued on August 31. The income from operation for this division before income taxes was $20,000. The Puzzles Division was sold at a loss of $90,000 before income taxes.
2. The company had an unrealized gain on available-for-sale securities of $120,000 before income taxes for the year.
3. The income tax rate on all items is 25%;

Instructions

Prepare a statement of comprehensive income for the year ended December 31, 2020.

Solution