Last Chance Company offers legal consulting advice to prison inmates. Last Chance Company prepared the end-of-period spreadsheet that follows at June 30, 2019, the end of the fiscal year: Last Chance Company

End-of-Period Spreadsheet

For the Year Ended June 30, 2019

Unadjusted Adjusted

Trial Balance Adjustments Trial Balance

Account Title Dr. Cr. Dr. Cr. Dr. Cr.

Cash 5,100 5,100

Accounts Receivable 22,750 (a) 3,750 26,500

Prepaid Insurance 3,600 (b) 1,300 2,300

Supplies 2,025 (c) 1,500 525

Land 80,000 80,000

Building 340,000 340,000

Accum. Depr.—Building 190,000 (d) 3,000 193,000

Equipment 140,000 140,000

Accum. Depr.—Equipment 54,450 (e) 4,550 59,000

Accounts Payable 9,750 9,750

Salaries & Wages Payable (f) 1,900 1,900

Unearned Rent 4,500 (g) 3,000 1,500

Tami Garrigan, Capital 361,300 361,300

Tami Garrigan, Drawing 20,000 20,000

Chance company had two operating divisions, one manufacturing farm equipment and the other office supplies. both divisions are considered separate components as defined by generally accepted accounting principles. the farm equipment component had been unprofitable, and on september 1, 2018, the company adopted a plan to sell the assets of the division. the actual sale was completed on december 15, 2018, at a price of $600,000. the book value of the division’s assets was $1,000,000, resulting in a before-tax loss of $400,000 on the sale. the division incurred a before-tax operating loss from operations of $130,000 from the beginning of the year through december 15. the income tax rate is 40%. chance’s after-tax income from its continuing operations is $350,000. required: prepare an income statement for 2018 beginning with income from continuing operations. include appropriate eps disclosures assuming that 100,000 shares of common stock were outstanding throughout the year. (amounts to be deducted should be indicated with a minus sign. round eps answers to 2 decimal places.)

"in my opinion, we ought to stop making our own drums and accept that outside supplier's offer," said wim niewindt, managing director of antilles refining, n.v., of aruba. "at a price of $21 per drum, we would be paying $4.70 less than it costs us to manufacture the drums in our own plant. since we use 70,000 drums a year, that would be an annual cost savings of $329,000." antilles refining's current cost to manufacture one drum is given below (based on 70,000 drums per year):

At the end of year 2, retained earnings for the baker company was $3,550. revenue earned by the company in year 2 was $3,800, expenses paid during the period were $2,000, and dividends paid during the period were $1,400. based on this information alone, retained earnings at the beginning of year 2 was: