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Business, 05.02.2021 21:20 Daud2020

Presented below is information related to Bonita Corp. for the year 2020. Net sales $1,248,000 Write-off of inventory due to obsolescence $76,800
Cost of goods sold 748,800 Depreciation expense omitted by accident in 2019 52,800
Selling expenses 62,400 Casualty loss 48,000
Administrative expenses 46,080 Cash dividends declared 43,200
Dividend revenue 19,200 Retained earnings at December 31, 2019 940,800
Interest revenue 6,720

Effective tax rate of 20% on all items.
Required:
a. Prepare a multiple-step income statement for 2020. Assume that 55,620 shares of common stock are outstanding. (Round earnings per share to 2 decimal places, e. g. 1.49.)
b. Prepare a separate retained earnings statement for 2020. (List items that increase adjusted retained earnings first.)

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