Question

Beasley, Inc., reports the following amounts in its December 31, 2021, income statement. Sales revenue $ 320,000 Income tax expense $ 31,000 Interest expense 13,000 Cost of goods sold 126,000 Salaries expense 30,000 Advertising expense 22,000 Utilities expense 43,000 Prepare a multiple-step income statement.

Answer 1

--Multi Step Income Statement

For the year ended 31 Dec 2021
Sales revenue	$320,000
Cost of Goods Sold	$126,000
Gross Profits		$194,000
Salaries expense	$30,000
Advertising expense	$22,000
Utilities expense	$43,000
Total Operating Expenses		$95,000
Operating Income		$99,000
Interest Expenses		$13,000
Income before income taxes		$86,000
Income tax expenses		$31,000
Net Income		$55,000