Question

The information below relates to the operations of Wildhorse Corporation for the year ended December 31,...

The information below relates to the operations of Wildhorse Corporation for the year ended December 31, 2017.

Cost of goods sold $349,000
Interest expense 2,490
Sales returns & allowances 9,170
Accounts Payable 120,278
Sales discounts 3,992
Depreciation expense 284,520
Sales Revenue 982,396
Salaries & Wages 163,652
Prepaid expenses 3,430
Rent expense 39,300
Loss-due to fire 8,398
Rental revenue 25,900


Additional information:

The effective tax rate is 40%.


Prepare a single-step income statement in good form by nature. (Round answers to 0 decimal places, e.g. 5,275.)

revenues
$
$
expenses
$

Homework Answers

Answer #1

Revenue

sale revenue $982396

Rental revenue. $25900

Total revenue. $1008296

Expenses

COGS $349000

Depriciation $284520

Sales return, allowances $9170

Sales discount $3992

Salaries and wages $163652

Rent Expenses $39300

Interest Expense $2490

loss due to fire $8398

Tax expense @40% $59109

(Profit before tax 147774)

Total expense $919631

Net profit after tax = 88665

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