8. (L.O. 4) During the year ended December 31, 2014, Schmelya Corporation incurred the following…

8. (L.O. 4) During the year ended December 31, 2014, Schmelya Corporation incurred the following…

8.       (L.O. 4) During the year ended December 31, 2014, Schmelya Corporation incurred the following infrequent losses:

1.           A factory was shut down during a major strike by employees; costs were $120,000.

2.           A loss of $50,000 was incurred on the abandonment of computer equipment used in the business.

3.           A restructuring charge of $75,000.

4.           A loss of $82,000 was incurred as a result of flood damage to a warehouse.

How much total loss should Schmelya report in the extraordinary item section of its 2014 income statement?

 

a.

$82,000

b.

$120,000

c.

$202,000

d.

$252,000

 

 

8. (L.O. 4) During the year ended December 31, 2014, Schmelya Corporation incurred the following…