reported the following data. Administrative expenses 435,000 Cost of goods sold 1,289,000 Interest expense 70,000 Interest revenue 28,000 Selling expenses 490,000 Loss on sale of equipment 10,000 Net sale 2,342,000 a) Prepare a single-step income statement

reported the following data. Administrative expenses 435,000 Cost of goods sold 1,289,000 Interest expense 70,000 Interest revenue 28,000 Selling expenses 490,000 Loss on sale of equipment 10,000 Net sale 2,342,000 a) Prepare a single-step income statement

College Accounting, Chapters 1-27 (New in Accounting from Heintz and Parry)

22nd Edition

ISBN:9781305666160

Author:James A. Heintz, Robert W. Parry

Publisher:James A. Heintz, Robert W. Parry

Chapter15: Financial Statements And Year-end Accounting For A Merchandising Business

Section: Chapter Questions

Problem 3SEB: MULTIPLE-STEP INCOME STATEMENT Use the following information to prepare a multiple-step income...

See similar textbooks

Similar questions

The following data (in millions) were taken from the financial statements of Costco Wholesale Corporation: a. For Costco, determine the amount of change in millions and the percent of change (round to one decimal place) from the prior year to the recent year for: 1. Revenue 2. Operating expenses 3. Operating income b. Comment on the results of your horizontal analysis in part (a). c. Based upon Exercise 2-23, compare and comment on the operating results of Target and Costco for the recent year.
MULTIPLE-STEP INCOME STATEMENT Use the following information to prepare a multiple-step income statement, including the revenue section and the cost of goods sold section, for Aeitos Plumbing Supplies for the year ended December 31, 20--.
The comparative balance sheet of Prime Sports Gear, Inc., at December 31, the end of the fiscal year, is as follows: Additional data obtained from the records of Prime Sports Gear are as follows: a. Net income for 2013 was 121,610. b. Depreciation reported on income statement for 2013 was 46,500. c. Purchased 165,000 of new equipment, putting 90,000 cash down and issuing 75,000 of bonds for the balance. d. Old equipment originally costing 19,500, with accumulated depreciation of 7,950, was sold for 8,000. e. Retired 60,000 of bonds. f. Declared cash dividends of 64,000. g. Issued 1,500 shares of common stock at 27 cash per share. Open the file CASHFLOW from the website for this book at cengagebrain.com. First, enter the formulas. Then, complete the worksheet in the manner described next. According to the problem, cash increased from 39,600 to 67,210 during the year. This is a 27,610 increase. To record this increase on the worksheet, move to row 17. Since this is the first account you are analyzing, enter the letter a in column C. Then enter 27610 in column D (a debit since cash increased). This brings the year-end balance (column G) to 67,210, its proper balance. Now move to the bottom part of the statement where you see the categories Operating Activities, Investing Activities, and so on. The credit side of the entry has to be entered here. The proper space for this cash entry is on row 59. Enter the letter a in cell E59 and 27610 in cell F59. Notice the totals at the bottom of the page (row 60) now agree. The next account balance that changed is accounts receivable. It increased by 9,035. To enter this change on the worksheet, enter the letter b in cell C18 and 9035 in cell D18 (again, a debit since accounts receivable increased). This brings the year-end balance in column G to 121,250, its proper balance. The change in accounts receivable balance is an operating activity adjustment (as explained in your textbook). Enter the credit side of this entry in cells E34 and F34, and enter the explanation Increase in accounts receivable in cell A34. Note: Your textbook probably shows Net income as the first item under Operating Activities. We will get to that later. The sequence in which you enter items on this worksheet is not important. All other balance sheet accounts must be analyzed in the same manner, placing appropriate debit or credit entries in the top part of the worksheet to obtain the proper balances in column G, and then entering the second side of the entry in the appropriate row on the bottom part of the worksheet. You should use letter references to identify all entries. Also, you must enter a description of the entry in column A under the appropriate activity category. Although a sequence of analyzing the balance sheet from top to bottom is suggested here, this order is not necessary. As mentioned earlier, your textbook may specify a different sequence. Also, note that some accounts may have both debit and credit adjustments to them. The worksheet is not a substitute for a statement of cash flows, but it does provide you with all the numbers you need to properly prepare one. You will be done with your analysis when: a. The individual account balances at December 31, 2013, as shown on the worksheet (column G) equal those shown in the given problem data. b. The transaction column totals are equal (cells D60 and F60). c. The sum of the operating, investing, and financing activities (cell G59) equals the change in cash (cell D59 or F59). When you are finished, enter your name in cell A1. Save your completed file as CASHFLOW2. Print the worksheet when done. Also print your formulas. Check figure: Total credits at 12/31/2013 (cell G31), 860,460.
Please answer all 3 parts accordingly: Joyner Company’s income statement for Year 2 follows: Sales $ 709,000 Cost of goods sold 76,000 Gross margin 633,000 Selling and administrative expenses 150,800 Net operating income 482,200 Nonoperating items: Gain on sale of equipment 5,000 Income before taxes 487,200 Income taxes 146,160 Net income $ 341,040 Its balance sheet amounts at the end of Years 1 and 2 are as follows: Year 2 Year 1 Assets Cash $ 313,940 $ 57,200 Accounts receivable 222,000 143,000 Inventory 319,000 279,000 Prepaid expenses 11,000 22,000 Total current assets 865,940 501,200 Property, plant, and equipment 640,000 508,000 Less accumulated depreciation 165,400 130,900 Net property, plant, and equipment 474,600 377,100 Loan to Hymans Company 48,000 0 Total assets $ 1,388,540 $ 878,300 Liabilities and Stockholders' Equity Accounts payable $ 315,000 $ 254,000 Accrued liabilities 43,000 51,000 Income…
The following income statement and additional year-end information is provided. SONAD COMPANY Income Statement For Year Ended December 31 Sales $ 2,222, 000 Cost of goods sold 1,088, 780 Gross profit 1, 133, 220 Operating expenses Salaries expense S 304, 414 Depreciation experise 53, 328 Rent expense 59, 994 Amortization expenses-Patents 6,666 Utilities expense 24, 442 448, 844 684,376 Gain on sale of equipment 8, 888 Net income $ 693, 264 Accounts receivable $ 22, 650 increase Accounts payable $ 9,650 decrease Inventory 19, 475 increase Salaries payable 5, 500 decrease Prepare the operating activities section of the statement of cash flows using the direct method. (Amounts to be deducted should be indicated with a minus sign.).
The following income statement data for AT&T Inc. and Verizon Communications Inc. were taken from their recent annual reports (in millions): AT&T Verizon Revenues $132,447 $127,079 Cost of services (expense) 60,611 49,931 Selling and marketing expense 39,697 41,016 Depreciation and other expenses 20,393 16,533 Operating income $ 11,746 $ 19,599 Required: Question Content Area a. Prepare a vertical analysis of the income statement for AT&T. Round to one decimal place. AT&T Income Statement Amount Percent Revenues $fill in the blank b59927f86ff4048_1 fill in the blank b59927f86ff4048_2% Cost of services (expense) fill in the blank b59927f86ff4048_3 fill in the blank b59927f86ff4048_4% Selling and marketing expense fill in the blank b59927f86ff4048_5 fill in the blank b59927f86ff4048_6% Depreciation and other expenses fill in the blank b59927f86ff4048_7 fill in the blank b59927f86ff4048_8% Operating income $fill in the blank b59927f86ff4048_9 fill in the blank…
The following income statement and balance sheets for Laser World are provided: LASER WORLD Income Statement For the year-ended December 31, 2021 Sales revenue $ 2,260,000 Cost of goods sold 1,500,000 Gross profit 760,000 Expenses: Operating expenses 345,000 Depreciation expense 66,000 Loss on sale of land 4,600 Interest expense 24,000 Income tax expense 58,000 Total expenses 497,600 Net income $ 262,400 LASER WORLD Balance Sheet December 31 2021 2020 Assets Current assets: Cash $127,000 $104,000 Accounts receivable 91,000 72,000 Inventory 200,000 180,000 Prepaid rent 12,000 12,000 Long-term assets: Land 270,000 210,000 Equipment 270,000 220,000 Accumulated depreciation (74,000) (46,000) Total assets $896,000 $752,000 Liabilities and Stockholders' Equity Current liabilities: Accounts payable $57,000 $56,000 Interest payable 8,900…
Summary operating data for Custom Wire & Tubing Company during the year ended April 30, 2018, are as follows: cost of goods sold, $510,700; administrative expenses, $63,600; interest expense, $38,000; rent revenue, $127,200; sales, $826,800; and selling expenses, $95,400. Prepare a single-step income statement. Custom Wire & Tubing Company Income Statement For the Year Ended April 30, 2018 Revenues: $ Total revenues $ Expenses: $ Total expenses $
In its income statement for the year ended December 31, 2022, Crane Company reported the following condensed data. Salaries and wages expenses $381,300 Loss on disposal of plant assets $ 68,470 Cost of goods sold 809,340 Sales revenue 1,812,200 Interest expense 58,220 Income tax expense 20,500 Interest revenue 53,300 Sales discounts 131,200 Depreciation expense 254,200 Utilities expense 90,200 Prepare a multiple-step income statement. (List other revenues before other expenses.)
In its income statement for the year ended December 31, 2022, Wildhorse Co. reported the following condensed data. Operating expenses $ 726,000 Interest revenue $ 39,000 Cost of goods sold 1,262,000 Loss on disposal of plant assets 23,000 Interest expense 75,000 Net sales 2,205,000 Income tax expense 51,000 Other comprehensive income (net of $1,200 tax) 8,900 I have to find a Income statement as well as a Comprehensive income, statement is needed, and I am confused.
The following income statement and additional year-end information is provided. SONAD COMPANY Income Statement For Year Ended December 31 Sales $ 2,323,000 Cost of goods sold 1,138,270 Gross profit 1,184,730 Operating expenses Salaries expense $ 318,251 Depreciation expense 55,752 Rent expense 62,721 Amortization expenses—Patents 6,969 Utilities expense 25,553 469,246 715,484 Gain on sale of equipment 9,292 Net income $ 724,776 Accounts receivable $ 31,400 increase Accounts payable $ 12,675 decrease Inventory 26,100 increase Salaries payable 2,500 decrease Prepare the operating activities section of the statement of cash flows using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) Statement of Cash Flows (partial) Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operating…
The following income statement and additional year-end information is provided. SONAD COMPANYIncome StatementFor Year Ended December 31 Sales $ 2,420,000 Cost of goods sold 1,185,800 Gross profit 1,234,200 Operating expenses Salaries expense $ 331,540 Depreciation expense 58,080 Rent expense 65,340 Amortization expenses—Patents 7,260 Utilities expense 26,620 488,840 745,360 Gain on sale of equipment 9,680 Net income $ 755,040 Accounts receivable $ 36,900 increase Accounts payable $ 10,425 decrease Inventory 36,800 increase Salaries payable 3,050 decrease Prepare the operating activities section of the statement of cash flows using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) Statement of Cash Flows (partial) Cash flows from…