E4.6 (LO 2, 3) (Income Statement Items) The following balances were taken from the books of Parnevik ASA on December 31, 2022. Accumulated depreciation- e 86,000 buildings Interest revenue € 28,000 Cash 51,000 Notes receivable 155,000 Sales revenue 1,280,000 Selling expenses 150,000 Accounts payable 20,000 Bonds payable 194,000 Accounts receivable 170,000 Prepaid insurance 100,000 YOA / roE Sales returns and allowances 150,000 Administrative and general 97,000 еxpenses Allowance for doubtful accounts 7,000 Accrued liabilities 32,000 Sales discounts 45,000 Interest expense 60,000 Land 100,000 Notes payable 100,000 Equipment Loss on impairment of plant 200,000 assets 120,000 Buildings Cost of goods sold Accumulated depreciation- equipment 140,000 Share capital-ordinary 500,000 621,000 Retained earnings 21,000 40,000 Assume the total effective tax rate on all items is 34%. Instructions Prepare an income statement; 100,00o ordinary shares were outstanding during the year.

E4.6 (LO 2, 3) (Income Statement Items) The following balances were taken from the books of Parnevik ASA on December 31, 2022. Accumulated depreciation- e 86,000 buildings Interest revenue € 28,000 Cash 51,000 Notes receivable 155,000 Sales revenue 1,280,000 Selling expenses 150,000 Accounts payable 20,000 Bonds payable 194,000 Accounts receivable 170,000 Prepaid insurance 100,000 YOA / roE Sales returns and allowances 150,000 Administrative and general 97,000 еxpenses Allowance for doubtful accounts 7,000 Accrued liabilities 32,000 Sales discounts 45,000 Interest expense 60,000 Land 100,000 Notes payable 100,000 Equipment Loss on impairment of plant 200,000 assets 120,000 Buildings Cost of goods sold Accumulated depreciation- equipment 140,000 Share capital-ordinary 500,000 621,000 Retained earnings 21,000 40,000 Assume the total effective tax rate on all items is 34%. Instructions Prepare an income statement; 100,00o ordinary shares were outstanding during the year.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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