Terwilliger Corporation owns a number of cruise ships and a chain of hotels.
The hotels, which have not been profitable, were discontinued on September 1, 2014. The 2014 operating results for the company were as follows.
Operating revenues $12,824,600
Operating expenses 8,657,800
Operating income $ 4,166,800
Analysis discloses that these data include the operating results of the hotel chain, which were operating revenues $1,953,900 and operating expenses $2,437,800.
The hotels were sold at a gain of $184,600 before taxes. This gain is not included in the operating results.
During the year, Terwilliger suffered an extraordinary loss of $803,300 before taxes, which is not included in the operating results.
In 2014, the company had other revenues and gains of $139,100, which are not included in the operating results.
The corporation is in the 27% income tax bracket. Prepare a condensed income statement.