Question

On March 31, 2019, the balances of the accounts appearing in the ledger of Racine Furnishings...

  1. On March 31, 2019, the balances of the accounts appearing in the ledger of Racine Furnishings Company, a furniture wholesaler, are as follows:

    Accumulated Depreciation—Building $712,600 Merchandise Inventory $932,550
    Administrative Expenses 526,600 Notes Payable 245,550
    Building 2,522,650 Office Supplies 19,050
    Cash 178,750 Salaries Payable 8,100
    Cost of Merchandise Sold 3,804,300 Sales 6,714,750
    Interest Expense 10,300 Selling Expenses 681,650
    Kathy Melman, Capital 1,502,450 Store Supplies 89,900
    Kathy Melman, Drawing 168,050

    a. Prepare a multiple-step income statement for the year ended March 31, 2019.

    Racine Furnishings Company
    Income Statement
    For the Year Ended March 31, 2019
    $
    Gross profit $
    Expenses:
    $
    Total expenses
    $
    Other expense:
    $

    b. What is a major advantage of the multiple-step income statement over the single-step income statement?

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1
Answer

Racine Furnishing Company
Multiple Income Statement
Sales $6,714,750
Cost Of Merchandise Sold $3,804,300
Gross Profit $2,910,450
Expenses
Administrative Expense $558,400
Selling Expense $681,650
Total Expense $1,240,050
Operating Income $1,670,400
Other Expense
Les: Interest Expense $     10,300
Net Income $1,660,100
b
Major advantage is represents the relationship established between the gross profit to sales
0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Multiple-Step Income Statement On March 31, 2019, the balances of the accounts appearing in the ledger...
Multiple-Step Income Statement On March 31, 2019, the balances of the accounts appearing in the ledger of Racine Furnishings Company, a furniture wholesaler, are as follows: Accumulated Depreciation—Building $774,700 Merchandise Inventory $1,001,550 Administrative Expenses 556,300 Notes Payable 238,700 Building 2,594,150 Office Supplies 19,650 Cash 173,200 Salaries Payable 7,850 Cost of Merchandise Sold 3,684,350 Sales 6,710,650 Interest Expense 10,150 Selling Expenses 742,000 Kathy Melman, Capital 1,638,200 Store Supplies 86,600 Kathy Melman, Drawing 178,150 a. Prepare a multiple-step income statement for the...
On March 31, 2019, the balances of the accounts appearing in the ledger of Racine Furnishings...
On March 31, 2019, the balances of the accounts appearing in the ledger of Racine Furnishings Company, a furniture wholesaler, are as follows: Accumulated Depreciation-Building $740,950 Administrative Expenses 544,400 Building 2,512,350 Cash 180,950 Cost of Merchandise Sold 3,957,700 Interest Expense 9,950 Kathy Melman, Capital 1,629,600 Kathy Melman, Drawing 175,450 Merchandise Inventory 938,750 Notes Payable 245,000 Office Supplies 20,500 Salaries Payable 7,750 Sales 6,634,950 Selling Expenses 733,400 Store Supplies 87,150 Required: a. Prepare a multiple-step income statement for the year ended...
On March 31, 2019, the balances of the accounts appearing in the ledger of Racine Furnishings...
On March 31, 2019, the balances of the accounts appearing in the ledger of Racine Furnishings Company, a furniture wholesaler, are as follows: Accumulated Depreciation—Building $ 300,000 Administrative Expenses 216,000 Building 1,000,000 Cash 70,000 Cost of Merchandise Sold 1,520,000 Interest Expense 4,000 Kathy Melman, Capital 634,800 Kathy Melman, Drawing 70,000 Merchandise Inventory 392,000 Notes Payable 100,000 Office Supplies 8,000 Salaries Payable 3,200 Sales 2,564,000 Selling Expenses 286,000 Store Supplies 36,000 Journalize the closing entries. Refer to the Chart of Accounts...
On March 31, 20Y4, the balances of the accounts appearing in the ledger of Danns Furnishings...
On March 31, 20Y4, the balances of the accounts appearing in the ledger of Danns Furnishings Company, a furniture wholesaler, are as follows: Accumulated Depreciation-Building $419,000 Administrative Expenses 302,000 Building 1,397,000 Cash 98,000 Cost of Merchandise Sold 2,123,000 Interest Expense 6,000 Kathy Melman, Capital 887,000 Kathy Melman, Drawing 98,000 Merchandise Inventory 547,000 Notes Payable 140,000 Office Supplies 11,000 Salaries Payable 4,000 Sales 3,582,000 Selling Expenses 400,000 Store Supplies 50,000 Journalize the closing entries. Refer to the chart of accounts for...
On March 31, 20Y4, the balances of the accounts appearing in the ledger of Danns Furnishings...
On March 31, 20Y4, the balances of the accounts appearing in the ledger of Danns Furnishings Company, a furniture wholesaler, are as follows: Accumulated Depreciation—Building $742,600 Administrative Expenses 515,600 Building 2,552,350 Cash 170,400 Cost of Merchandise Sold 3,698,650 Interest Expense 10,400 Kathy Melman, Capital 1,505,050 Kathy Melman, Drawing 175,450 Merchandise Inventory 992,800 Notes Payable 244,350 Office Supplies 20,000 Salaries Payable 8,100 Sales 6,501,450 Selling Expenses 715,850 Store Supplies 86,300 Journalize the closing entries. Refer to the chart of accounts for...
Multiple-Step Income Statement On March 31, 2018, the balances of the accounts appearing in the ledger...
Multiple-Step Income Statement On March 31, 2018, the balances of the accounts appearing in the ledger of Royal Furnishings Company, a furniture wholesaler, are as follows: Accounts Receivable $170,000 Inventory 995,500 Accumulated Depreciation—Building 725,050 Notes Payable 310,050 Administrative Expenses 546,850 Office Supplies 19,550 Building 2,400,800 Retained Earnings 1,265,900 Cash 178,900 Salaries Payable 7,900 Common Stock 312,900 Sales 6,449,000 Cost of Goods Sold 3,796,900 Selling Expenses 728,800 Dividends 169,800 Store Supplies 93,400 Interest Expense 10,500 a. Prepare a multiple-step income statement...
On March 31, 20Y9, the balances of the accounts appearing in the ledger of Royal Furnishings...
On March 31, 20Y9, the balances of the accounts appearing in the ledger of Royal Furnishings Company, a furniture store, are as follows: Accounts Receivable $160,250 Accumulated Depreciation-Building 742,600 Administrative Expenses 515,600 Building 2,552,350 Cash 183,850 Common Stock 295,050 Cost of Goods Sold 3,903,350 Dividends 185,250 Interest Expense 10,200 Inventory 1,000,900 Notes Payable 254,900 Office Supplies 20,350 Retained Earnings 1,315,950 Salaries Payable 8,050 Sales 6,618,600 Selling Expenses 706,050 Store Supplies 86,700 A. Prepare a multiple-step income statement for the fiscal...
On March 31, 20Y9, the balances of the accounts appearing in the ledger of Royal Furnishings...
On March 31, 20Y9, the balances of the accounts appearing in the ledger of Royal Furnishings Company, a furniture store, are as follows: Accounts Receivable $150,250 Accumulated Depreciation—Building 742,600 Administrative Expenses 515,600 Building 2,552,350 Cash 183,850 Common Stock 295,050 Cost of Goods Sold 3,903,350 Dividends 185,250 Interest Expense 10,200 Inventory 1,000,900 Notes Payable 254,900 Office Supplies 20,350 Retained Earnings 1,315,950 Salaries Payable 8,050 Sales 6,618,600 Selling Expenses 706,050 Store Supplies 86,700 Journalize the closing entries. Refer to the Chart of...
On March 31, 20Y9, the balances of the accounts appearing in the ledger of Royal Furnishings...
On March 31, 20Y9, the balances of the accounts appearing in the ledger of Royal Furnishings Company, a furniture store, are as follows: Accounts Receivable $155,250 Accumulated Depreciation—Building 758,050 Administrative Expenses 522,950 Building 2,558,950 Cash 184,200 Common Stock 308,650 Cost of Goods Sold 3,884,500 Dividends 184,250 Interest Expense 9,500 Inventory 1,008,800 Notes Payable 250,600 Office Supplies 20,200 Retained Earnings 1,349,550 Salaries Payable 7,750 Sales 6,243,700 Selling Expenses 733,950 Store Supplies 94,450 Journalize the closing entries. Refer to the Chart of...
ructions On July 31, 2019, the balances of the accounts appearing in the ledger of Serbian...
ructions On July 31, 2019, the balances of the accounts appearing in the ledger of Serbian Interiors Company, a furniture wholesaler, are as follows: Accumulated Depreciation-Building $365,000 Administrative Expenses 440,000 Building 810,000 Cash 78,000 Cost of Merchandise Sold 775,000 Interest Expense 6,000 Merchandise Inventory 115,000 Notes Payable 100,000 Peter Bronsky, Capital 530,000 Peter Bronsky, Drawing 15,000 Sales 1,437,000 Sales Tax Payable 4,500 Selling Expenses 160,000 Store Supplies 16,000 Store Supplies Expense 21,500 Required: Prepare the July 31, 2019, closing entries...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT