What is an income statement?
In an income statement, what does "Sales mean".
what does "cost...
What is an income statement?
In an income statement, what does "Sales mean".
what does "cost of goods mean"?
what are "operating expenses'' in the income statement - give
an example
in the income statement , what does "Net Income" mean?
What type of income statement does the Company Prepare? How can
you tell?
Statement of Income...
What type of income statement does the Company Prepare? How can
you tell?
Statement of Income
For the month ended January 31
2018
Sales Revenue
$381,000
Cost of Goods Sold:
216,000
Gross Profit Margin
165,000
Operating expenses
Depreciation expense
308
Rent expense
1,250
Wages expense
27,200
Total operating expenses
28,758
Operating income
Other Revenues and Expenses
Service Revenue
19,167
Total Other Revenues and Expense
19,167
Income before tax
155,408
Income tax...
A comparative income statement is given below for McKenzie
Sales, Ltd., of Toronto:
McKenzie Sales, Ltd....
A comparative income statement is given below for McKenzie
Sales, Ltd., of Toronto:
McKenzie Sales, Ltd.
Comparative Income Statement
This Year
Last Year
Sales
$
7,390,000
$
5,616,400
Cost of goods sold
4,730,000
3,506,500
Gross margin
2,660,000
2,109,900
Selling and administrative expenses:
Selling expenses
1,382,000
1,076,000
Administrative expenses
710,500
612,000
Total expenses
2,092,500
1,688,000
Net operating income
567,500
421,900
Interest expense
100,000
87,000
Net income before taxes
$
467,500
$
334,900
Required: 1. Express each year's income statement in common-size...
A comparative income statement is given below for McKenzie
Sales, Ltd., of Toronto:
McKenzie Sales, Ltd....
A comparative income statement is given below for McKenzie
Sales, Ltd., of Toronto:
McKenzie Sales, Ltd.
Comparative Income Statement
This Year
Last Year
Sales
$
7,390,000
$
5,616,400
Cost of goods sold
4,770,000
3,506,500
Gross margin
2,620,000
2,109,900
Selling and administrative expenses:
Selling expenses
1,384,000
1,078,500
Administrative
expenses
708,500
614,000
Total expenses
2,092,500
1,692,500
Net operating income
527,500
\417,400\
Interest expense
104,000
87,000
Net income before taxes
$
423,500
$
\330,400\
Members of the company’s board of
directors...
A comparative income statement is given below for McKenzie
Sales, Ltd., of Toronto:
McKenzie Sales, Ltd....
A comparative income statement is given below for McKenzie
Sales, Ltd., of Toronto:
McKenzie Sales, Ltd.
Comparative Income Statement
This Year
Last Year
Sales
$
7,340,000
$
5,578,400
Cost of goods sold
4,620,000
3,510,500
Gross margin
2,720,000
2,067,900
Selling and administrative expenses:
Selling expenses
1,389,000
1,076,000
Administrative expenses
709,500
610,500
Total expenses
2,098,500
1,686,500
Net operating income
621,500
381,400
Interest expense
101,000
94,000
Net income before taxes
$
520,500
$
287,400
Members of the company’s board of directors are surprised...
A comparative income statement is given below for McKenzie
Sales, Ltd., of Toronto: McKenzie Sales, Ltd....
A comparative income statement is given below for McKenzie
Sales, Ltd., of Toronto: McKenzie Sales, Ltd. Comparative Income
Statement This Year Last Year Sales $ 7,320,000 $ 5,563,200 Cost of
goods sold 4,690,000 3,513,500 Gross margin 2,630,000 2,049,700
Selling and administrative expenses: Selling expenses 1,399,000
1,073,500 Administrative expenses 707,500 610,000 Total expenses
2,106,500 1,683,500 Net operating income 523,500 366,200 Interest
expense 105,000 89,000 Net income before taxes $ 418,500 $ 277,200
This Year Last Year Sales % % Cost of...
McKenzie Sales, Ltd.
Comparative Income Statement
This Year
Last Year
Sales
$
7,300,000
$
5,548,000
Cost...
McKenzie Sales, Ltd.
Comparative Income Statement
This Year
Last Year
Sales
$
7,300,000
$
5,548,000
Cost of goods sold
4,620,000
3,510,500
Gross margin
2,680,000
2,037,500
Selling and administrative expenses:
Selling expenses
1,381,000
1,076,500
Administrative expenses
705,000
618,000
Total expenses
2,086,000
1,694,500
Net operating income
594,000
343,000
Interest expense
105,000
87,000
Net income before taxes
$
489,000
$
256,000
Members of the company’s board of directors are surprised to see
that net income increased by only $233,000 when sales increased by...
Income Statement and Accounts for Merchandiser
For the fiscal year, sales were $4,077,000 and the cost...
Income Statement and Accounts for Merchandiser
For the fiscal year, sales were $4,077,000 and the cost of goods
sold was $2,324,000.
a. What was the amount of gross profit?
$
b. If total operating expenses were $604,000,
could you determine net income?
c. Customer Refunds Payable is a(n)
account.
What is its normal balance?
d. Estimated Returns Inventory is a(n)
account.
What is its normal balance?
Prepare a common-size income statement (component percentages)
for the following income statement.
Dollar Amount
Sales revenue...
Prepare a common-size income statement (component percentages)
for the following income statement.
Dollar Amount
Sales revenue
$200,000
Cost of goods sold
$80,000
Gross profit
$120,000
Operating expenses
$101,000
Interest expense
$4,000
Income before income tax
$15,000
Income tax expense (rate 20%)
$3,000
Net income