Tungsten Company, Inc., sells heavy construction equipment. There are 14,500 shares of capital stock outstanding. The annual fiscal period ends on December 31. The following condensed trial balance was taken from the general ledger on December 31, Current Year:
Account Titles Debit Credit Cash$35,600 Accounts receivable (net)15,300 Inventory, ending52,600 Operational assets 40,600 Accumulated depreciation $18,400 Liabilities 24,900 Capital stock 72,800 Retained earnings, January 1, Current Year 13,680 Sales revenue149,100Sales returns and allowances5,700Cost of goods sold79,600Selling expense14,400Administrative expense16,000Bad debt expense2,900Sales discounts7,400Income tax expense 8,780Totals $278,880 $278,880Required:
1. Beginning with the amount for net sales, prepare an income statement (showing both gross profit and income from operations). Treat sales discounts and sales returns and allowances as a contra-revenue. (Round "Earnings per share" to 2 decimal places.)