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Novak Corp. has $149,380$ shares of common stock outstanding. In $2025,$ the company reports income from continuing operations before income tax of $$1,215,800.$ Additional transactions not considered in the $$1,215,800$ are as follows.

In $2025,$ Novak Corp. sold equipment for $$38,600.$ The machine had originally cost $$80,700$ and had accumulated depreciation of $$30,600.$ The gain or loss is considered non$-$recurring.

The company discontinued operations of one of its subsidiaries during the current year at a loss of $$191,700$ before taxes. Assume that this transaction meets the criteria for discontinued operations. The loss from operations of the discontinued subsidiary was $$92,600$ before taxes; the loss from disposal of the subsidiary was $$99,100$ before taxes.

An internal audit discovered that amortization of intangible assets was understated by $$37,900($net of tax$)$ in a prior period. The amount was charged against retained earnings.

The company recorded a non$-$recurring gain of $$128,300$ on the condemnation of some of its property $($included in the $$1,215,800).$

Analyze the above information and prepare an income statement for the year $2025,$ starting with income from continuing operations before income tax. Compute earnings per share as it should be shown on the face of the income statement. $($Assume a total effective tax rate of $19\%$ on all items, unless otherwise indicated.$)($Round earnings per share to $2$ decimal places, eg$.1\mathrm{.}47.)$

NOVAK CORP.

Income Statement $($Partial$)$

For the Quarter Ended December $31,2025$

Analyze the above in formation and prepare an income statement for the year $2025,$ starting with income from continuing operations before income tax. Compute earnings per share as it should be shown on the face of the income statement. $($Assume a total effective tax rate of $19\%$ on all items, unless otherwise indicated.$)($Round earnings per share to $2$ decimal places, e$.$g$.1\mathrm{.}47.)$

NOVAK CORP.

Income Statement $($Partial$)$

For the Quarter Ended December $31,2025$

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