The preliminary 2013 income statement of Alexian Systems, Inc., is presented below:ALEXIAN SYSTEMS, INC.Income StatementFor the Year Ended December 31, 2013($ in millions, except earnings per share)Revenues and gains:Net sales ………. $ 425 Interest ……… 3Other income……. . 126Total revenues and gains …. 554Expenses:Cost of goods sold….. . 270Selling and administrative …..154Income taxes ……. 52Total expenses ……. 476Net Income ……. $ 78Earnings per share ……. $3.90Additional Information:1. Selling and administrative expenses include $26 million in restructuring costs.2. Included in other income is an extraordinary gain of $120 million. The remaining $6 million is from the gain on sale of investments.3. Cost of goods sold was increased by $5 million to correct an error in the calculation of 2012’s ending inventory.The amount is material.Required:For each of the three additional facts listed above, discuss the appropriate presentation of the item described. Do not prepare a revised statement.View Solution:
The preliminary 2013 income statement of Alexian Systems Inc is



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