Wellman Inc., a computer manufacturer located in Texas, lost an uninsured building due to the infrequent and unusual occurrence of a hurricane. The building has a balance sheet value of $20,000 and will cost $165,000 to rebuild. Wellman's income tax rate is 40%. Calculate the amount of any extraordinary loss that should be reported on Wellman's income statement. Prepare a partial income statement that shows how the item will be presented.

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The Answer of Wellman Inc., a computer manufacturer located in Texas, lost an uninsured building due to the infrequent and unusual occurrence of a hurricane. The building has a balance sheet value of $20,000 and will cost $165,000 to rebuild. Wellman's income tax rate is 40%. Calculate the amount of any extraordinary loss that should be reported on Wellman's income statement. Prepare a partial income statement that shows how the item will be presented.