Income Statement (HEAVILY TESTED)

Question 1

Presentation Order - Income Statement

Answer 1

a. Income or Loss from Continuing Operations shown
BOTH before tax & after tax
b. Income or Loss from Discontinued Operations
(NET OF TAX
c. Extraordinary Items (NET OF TAX)

Question 2

Presentation Order - Statement of Retained Earnings

Answer 2

Cumulative Effect of Change in Accounting Principle

(Reported NET OF TAX)